Amway CEO arrested
Amway India CEO William Scott Pinckney has been arrested on charges of cheating and financial fraud.
He was taken into custody by a special police team at Gurgoan yesterday, and was shifted to Kurnool on transit warrant. He would be produced before the magistrate here later in the day.
Mr Pinckney figured as the second accused in the case while the enterprise was named the prime accused, Kurnool Superintendent of Police K Raghurami Reddy told reporters here.
He said charges were framed under section 420 of IPC (cheating) and sections 3, 4, 5, and 6 of Prize Chits and Money Circulation Schemes (Banning) Act 1978.
A case was registered at Two Town Police Station in Kurnool city in 2013 in response to a complaint by an advocate Jagannatha Reddy.
Along with Pinckney, three others identified as Venkateswarlu, Vinaykumar and Erranna also figured as accused in the case for being the custodians of the local distribution centre enrolling member charging exorbitant fees for its chain business scheme.
In 2006, a criminal case was registered with CID, Hyderabad against the Amway.
(Posted on 28-05-2014)