Dozens of members defend multilevel marketing firm

JAKARTA (JP): At least 200 members of PT Banyumas Mulia Abadi (BMA), a multilevel marketing company under police investigation for possible fraud, called a news conference on Saturday to defend the legitimacy of the company's operations.

"We hereby announce that BMA has never exploited its customers," one of the members, Abdul Jabar Wahab, said.

The members said media coverage of BMA's operation and the police raid of the company's branch office in Surabaya last week was misleading. They also expressed fears that the Jakarta operation would suffer the same fate.

They said they had all benefited from their participation in the scheme, which offered a 90 percent return within 25 days on a member's minimum initial investment of Rp 2 million.

The participants could chose different investment packages, including house or car purchases, and still make the 90 percent profit.

No BMA representatives were present at the news conference -- held in the company's parking lot -- to explain how the scheme worked.

BMA was founded in Medan on June 1997 and has since opened branches in Surabaya, Bandung and Jakarta.

Hundreds of people have lined up to join the scheme since the Jakarta office opened in June 1998.

Police closed down BMA's office in Surabaya on Wednesday and detained some of its employees for further questioning.

Another multilevel marketing company in Medan was attacked by customers after its director made off with trillions of rupiah.

The company is now under police investigation.

Lamretta, a BMA member in Surabaya, flew to Jakarta to take part in the news conference. She said she had paid for her flight and other expenses from profits resulting from her investment.

She told The Jakarta Post that members of the Surabaya operation were anxious to recover their money.

"I am supposed to receive Rp 71 million from BMA, but now the police are detaining some of its employees," she said.(03)