Photo: Messenger
Resurgence of banned multi-level marketing (MLM) schemes has once again been identified as a significant threat to the country’s innocent people.
Exploiting the allure of doubling profits, the fraudulent investments have ensnared thousands – thereby resulting in the disappearance of millions of taka from people’s pockets.
One of the latest resurgent schemes is "otithee.com," a multi-level marketing company that has already siphoned off 5 crore (50 million) taka from 20 thousand customers, with 2.5 thousand taka from each.
At the helm of this operation is Saiful Islam Sohail, despite being banned by the Ministry of Commerce. Sohail's involvement traces back to his prior association as a PSD customer with another now-defunct company, Destiny. Operating out of an office located at Police Plaza in Niketan, the capital's sensitive area, Otithee.com has attracted scrutiny for its choice of location.
Many speculate that this strategic placement within Police Plaza is a calculated move to exploit the presence of law enforcement, potentially leveraging their influence to evade scrutiny and legal consequences.
Dhaka Metropolitan Police Joint Commissioner Biplab Kumar Sarkar has asserted that in light of the government's ban on such businesses, there is no room for their continuation. Moreover, he emphasised that such operations have no place within the precincts of Police Plaza. Assurances were made regarding a thorough investigation into the matter.
Subsequent inquiries have revealed that this MLM enterprise operates clandestinely under the guise of online booking while establishing an office within the police force establishment. Despite being a mere six months old, the organisation has already enlisted 20 thousand agents nationwide, each of whom has been coerced into parting with 2500 taka. This exorbitant sum aggregates to a staggering Tk 5 crores.
Alarmingly, the organisation harbors ambitions to ensnare billions across the country as agents, indicative of a grand scheme aimed at embezzling thousands of crores of taka.
Upon initial inspection, an office named Otithee.com can be found by taking the elevator to Tower One of the Gulshan Police Plaza buildings. However, amidst allegations, it has come to light that this establishment is not merely facilitating online bookings but is purportedly engaging in MLM activities. Reports suggest that billions of taka have been siphoned off under the guise of these operations.
Further investigation into otithee.com's activities reveals that they offer services for booking accommodations, transportation, including cars and airplanes, from the comfort of one's home. However, behind this façade lies the insidious workings of MLM activities.
Attempts to access otithee.com's app via the Google Play Store reveal that once downloaded, access is restricted, necessitating registration. Each individual seeking entry is required to pay a registration fee of two and a half thousand taka, purportedly for agent training within the organisation.
Evidently, the primary objective appears to be the collection of these registration fees from unsuspecting individuals.
Syed Mohiuddin, the Head of the Human Resource Department at Otithee.com, has openly acknowledged to the reporter that Otithee.com is indeed involved in MLM business practices. He disclosed that within a span of just six months, the organisation has managed to recruit an impressive 20,000 individuals as agents, who are currently undergoing training across various regions of the country. This training primarily focuses on instructing agents on how to onboard new recruits.
Mohiuddin elaborated on the incentivised structure within the organisation, revealing that for every new agent successfully recruited by an existing agent, a commission of five hundred taka is awarded. This incentivisation model encourages agents to continually expand their network, as the more agents they recruit, the greater their financial gains.
Moreover, it has been disclosed that these 20 thousand agents from all corners of the country have each paid two and a half thousand taka for registration, with subsequent training aimed at bolstering their recruitment efforts.
Saiful Islam Sohag, the general manager of Otithee.com, has openly admitted that the company operates on the principles of MLM, with agents serving as key components of this structure. Agents are incentivised to recruit new individuals, earning 500 taka for each successful recruitment. This model relies on the belief that the promise of financial gain will attract more agents, thereby expanding the network.
Further revelations have uncovered that Saiful Islam Sohel, the managing director of otithee.com, previously worked as an agent for the now-banned Destiny organisation. Sohel's association with Destiny stemmed from his Ph.D. credentials.
With Destiny's closure, Sohel saw an opportunity to reenter the MLM business realm. Despite the prohibition of MLM businesses by the Ministry of Commerce, Otithee.com, under the direction of a fraudulent individual named Md. Jamal, has brazenly revived this illegal enterprise. This audacious move is compounded by the fact that they have chosen to operate from the prestigious Police Plaza, further highlighting their disregard for the law.
Additional DIG of Development Revenue, Shoaib Riaz Alam, has made a statement to the media regarding the presence of otithee.com within the Police Plaza.
He emphasised that the department responsible for Police Plaza would not have leased space to the company if they were aware of its involvement in MLM operations. Furthermore, Alam categorically stated that there is no tolerance for illegal business activities within Police Plaza premises.
Upon reviewing the available information, it becomes evident that numerous MLM, online, and e-commerce entities have perpetrated schemes resulting in the misappropriation of at least 40 thousand crores taka from unsuspecting individuals. These organisations enticed customers with various temptations, only to abscond with their investments. The fate of the invested capital remains uncertain, leaving customers in a state of uncertainty regarding the potential recovery of their funds.
In light of these circumstances, millions of cheated individuals have taken to the streets in protest, highlighting the widespread disillusionment and financial devastation caused by these fraudulent schemes.
The Destiny and Jubok companies stand as prominent examples of exploiting customers by enticing them with promises of high profits. These entities have defrauded common customers, siphoning off approximately 7,100 crore taka. Currently, Destiny Group's Chairman, Managing Director, Director, and 22 others are facing trial for embezzlement and misappropriation amounting to Tk 4,119 crore and 24 lakhs. These staggering figures underscore the magnitude of the financial fraud perpetrated by these organisations, leaving countless individuals financially devastated and underscoring the critical need for stringent regulatory measures to prevent such exploitation in the future.
The Jubo Employment Society, also known as Jubok, has been implicated in extorting substantial sums of money from customers under the guise of promising high profits. Its registration dates back to 1996, when it was officially registered by the Office of the Registrar of Joint Venture Companies and Firms (REJSCO), an entity operating under the purview of the Ministry of Commerce. This official registration lent an air of legitimacy to Jubok's operations, allowing it to attract unsuspecting individuals seeking employment opportunities or financial gains. However, it has since come to light that Jubok's activities were driven by fraudulent motives, ultimately leading to significant financial losses for its customers.
Messenger/Disha
