The Ministry of Corporate Affairs on Thursday said it cannot investigate alleged irregularities in multi-level marketing company Speak Asia as the company is not registered with it.
"Speak Asia is not registered in India. We cannot do any investigation against it. MCA does not have any database of the company," Corporate Affairs Secretary D K Mittal said on the sidelines of an AIMA event.
Singapore-based Speak Asia, promoted by Hariender Kaur, was incorporated last year. So far, it only has operations in India and claims to have 19 lakh members or panelists in the country.
Mittal added that Speak Asia has not applied for registration with the Ministry of Corporate Affairs (MCA). The company charges a membership fee of Rs 11,000 for a year. It allows its members to conduct some surveys online for the firm.
Members are paid for conducting the surveys. The company said that it pays Rs 500 for every survey to its member. After a controversy erupted last month about the company's operations, an investors' protection group filed a public interest litigation (PIL) in the Bombay High Court.
The Court issued summons to five top officials of Speak Asia. Singapore-based United Overseas Bank had closed the bank accounts of Speak Asia last month.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
