Networking Business

Pawan Joshi (Querist) 26 June 2008 This query is : Resolved
I have done a networking business and the company failed to make me payment. Beside this one of my downline opted to take franchise of the company and made payment of Rs.3.00 Lakhs to the company directly and Rs.2.00 Lakhs to Master franchise for joing fees card. The Master francjise delivered the card. In the mean time company failed to supply goods and could not make the repayment of the money. Now downline instead of filling a case against the company, is willing to file a case gainst me. What shall I do and Am i responsible for the fraud.

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Guest (Expert) 26 June 2008
It depends on your understanding with the downline, is there any kind of agrrment with them and you. In case the agreement is directly with the company and that party, you neednot wworry but will have to face some music.

Srinivas.B.S.S.T (Expert) 26 June 2008
if your agreements with the company are able to prrove that the company has to provide goods and repayment then you are safe. Lest you have to face the music as my friend said. Can you provide some more details such as with whom you have entered into contract and what is the gist of the contract.

Pawan Joshi (Querist) 27 June 2008
I was a networker and my downline became the Shoppe owner. She entered with an agreement with the company and I have nothing to do with that agreement. My role was that I introduced this concept in market.The amount invested was for shoppe.

anantha krishna n.v. Advocate (Expert) 27 June 2008
when acquiring the franchise is NOT PART OF NETWORKING, i suppose. What you need in networking is duplicating the senior. You are definitely safe in respect of loss to your downline by taking franchise.
This is an independant contract with company directly by your downline.
I need not worry about it. If you are told by the downline tht he want to take action against you, issue a notice detailing your stand straight away and ask him to refrain from litigating for his own mistakes.

Srinivas.B.S.S.T (Expert) 27 June 2008
Ok if you dont have any contract with the Downline or with the company then there is not need to be panic. Tell me have you issued any bills or is there any communication between you , downline or with the company which will prove your part in the network? if you dont have such correspondence simple deny every thing. If you have such correspondence then you have to be careful about upto what extent you can admit and what you can deny.

Pawan Joshi (Querist) 28 June 2008
No, I don't have any corrosp[endence in regards. Where as I am having a mail copy written by CMD of the company to my downline in which he have clarly written that he is responsible to Pay Rs.3.00 Lakhs and I am not resposnible for any fraud. But for 2.00 Lakhs he is not taking any responsibility.

anantha krishna n.v. Advocate (Expert) 06 July 2008
get issued a notice disowning your liability duly giving reasons therefor. also indicate if you are troubled, you would take recourse to legal remedies.
the cat would be out of the bag then.