Anti Fraud & Misrepresantation
Anti-Fraud & Misrepresentation Policy-
Objective
The purpose of this policy is to establish clear standards for preventing, detecting, and responding to fraudulent or deceptive activities within Auralyf Direct Selling Pvt. Ltd. This policy ensures that all Distributors, employees, and associates conduct business with the highest level of integrity, transparency, and accountability.
Scope
This policy applies to:
All registered Distributors and direct sellers of Auralyf.
Employees, officers, and authorized representatives of the Company.
Any person or entity engaged in business activities on behalf of Auralyf.
Definition of Fraud
“Fraud” refers to any act, omission, or concealment intended to deceive or mislead another person for financial or personal gain. It includes, but is not limited to:
Providing false or misleading information during Distributor registration or KYC verification.
Forging signatures or documents.
Manipulating sales data, invoices, or order records.
Misappropriation of company funds, products, or assets.
Unauthorized use of another Distributor’s ID or business center.
Offering or accepting bribes, kickbacks, or illegal commissions.
Definition of Misrepresentation
Misrepresentation occurs when a Distributor, employee, or representative provides false or exaggerated claims regarding the Company, its products, or its business model. Examples include:
Making unverified income claims or false earnings projections.
Misleading customers about product quality, benefits, or results.
Providing false promises of guaranteed success or “get-rich-quick” opportunities.
Using unauthorized marketing materials or unapproved sales literature.
Misrepresenting the Company’s affiliation, licenses, or approvals.
Company’s Commitment
Auralyf Direct Selling Pvt. Ltd. is firmly committed to maintaining an ethical business environment free from fraud and misrepresentation. The Company will take swift and decisive action against any individual or entity found engaging in such practices.
Distributor Responsibilities
Each Distributor must:
Conduct business with honesty, fairness, and integrity.
Use only company-approved materials for promotion and marketing.
Provide accurate information to customers, prospects, and other Distributors.
Immediately report any suspicious activity or fraudulent conduct to the Company’s Grievance Redressal Officer at help@auralyf.net
Avoid making any statements or claims that are inconsistent with official company literature.
Reporting Mechanism
Distributors, employees, or customers who suspect fraudulent activity should report it in writing to the Grievance Redressal Officer (GRO) or Nodal Officer.
All reports will be treated with strict confidentiality and investigated thoroughly.
Whistleblowers who report genuine concerns in good faith will be protected from retaliation or discrimination.
Investigation and Action
Upon receipt of a complaint, the Company will conduct an impartial investigation.
If fraud or misrepresentation is established, appropriate disciplinary action will be taken, which may include:
Immediate termination of Distributorship.
Suspension or withholding of commissions and incentives.
Legal action under applicable laws.
Reporting the incident to law enforcement or regulatory authorities, if necessary.
Prohibited Practices
Distributors are strictly prohibited from:
Misrepresenting their relationship with Auralyf as employment or partnership.
Creating duplicate or fake Distributor IDs.
Manipulating genealogy or commission structures for personal benefit.
Engaging in “Cross-Lining,” “Poaching,” or “Binary Manipulation.”
Collecting payments on behalf of the Company without authorization.
Consequences of Violation
Any individual found guilty of fraud or misrepresentation shall:
Lose all rights and benefits associated with their Distributorship.
Forfeit pending commissions or bonuses.
Be permanently disqualified from rejoining the Auralyf network.
Be subject to civil or criminal proceedings as per the Indian Penal Code (IPC) and Consumer Protection (Direct Selling) Rules, 2021.
Awareness and Training
The Company shall periodically organize training sessions, webinars, and compliance workshops to educate Distributors and employees about fraud prevention, ethical practices, and the consequences of non-compliance.
Policy Review
This policy shall be reviewed annually by Auralyf’s management to ensure its continued relevance, compliance with applicable laws, and effectiveness in preventing fraudulent activities.