Thu, 20 Jan 2000

Marketing firm back in business

MEDAN, North Sumatra: Thousands have flocked to a multilevel marketing company following reports that the firm, whose owners are under investigation for alleged fraud, had resumed operation.

Former customers of the company are trying to recover their money, which was allegedly embezzled by the company's founder, M. Yusuf, in July 1999. Yusuf and his wife Sakinah, who are believed to have left with trillions of rupiah received from the customers, are still at large.

Instead of returning their money, the company is offering 102 new schemes and forms. A company staff member quoted a statement from Yusuf, telling customers that their money would be transferred to their bank accounts.

The city administration has warned the former customers and the public of the company's past fraudulence. The mayor of Medan, Bachtiar Djafar, said on Monday that his office never allowed the company to renew its business.

The company's branches in Surabaya and Jakarta were closed also last July because of alleged embezzlement. (39/01)