i. This Direct Seller Code of Conduct (“Code”) is established by Falcon Marketing Pvt. Ltd., operating under the brand name VCN, to define the ethical standards, behavioural expectations, and legal obligations applicable to every individual acting as a Direct Seller, Preferred Customer, Business Centre holder, or any person engaged in promoting, recommending, explaining, or distributing the company’s products or business opportunity. This Code is an integral part of VCN’s compliance framework and is designed to ensure operations in strict conformity with the Consumer Protection Act, 2019, the Consumer Protection (Direct Selling) Rules, 2021, the Prize Chits and Money Circulation Schemes (Banning) Act, 1978, Legal Metrology laws, FSSAI guidelines, and any other applicable regulatory requirements governing the sale, distribution, and marketing of wellness, nutraceutical, health supplement, and personal care products in India.
ii. This Code is binding on all Direct Sellers from the moment they enrol themselves through the VCN portal and shall continue to govern their conduct until their association with the company ceases. The purpose of this document is to ensure that every Direct Seller of VCN acts with transparency, integrity, professionalism, fairness, and full respect for the customer’s rights and the applicable law.
i. A Direct Seller associated with VCN acts as an independent contractor and not as an employee, representative, partner, agent, franchisee, or legal associate of the company. The Direct Seller operates their business activities voluntarily and independently and is responsible for complying with the obligations under this Code and all other policies, agreements, and rules issued by the company. The Direct Seller shall not make any representation that suggests or implies employment status, agency relationship, guarantee of income, assured returns, corporate endorsement of personal commitments, or any form of financial or contractual obligation on behalf of VCN.
ii. The relationship is strictly limited to promoting and selling the company’s approved products, educating customers, building a legally compliant network, and earning commissions solely on the basis of genuine product sales. No income shall ever be represented, generated, or implied on the basis of recruitment, joining fees, enrolment, or any form of financial contribution, as such acts are expressly prohibited under Indian law.
i. VCN follows a structured, transparent, and regulator-compliant enrolment system for new customers and Direct Sellers. Every Direct Seller is obligated to adhere to the enrolment process as notified by the company and must ensure that prospective customers and joinees are accurately informed of each stage. Direct Sellers shall not deviate from, distort, or manipulate the onboarding process in any manner.
ii. The Direct Seller shall explain to the new joinee that registration as a Customer or Preferred Customer involves no fee, no compulsory purchase, and no subscription charges. Direct Sellers must ensure that customers are guided to register only through the official company portal, verify their details truthfully, and understand the nature of their association. A prospective joinee must also be made aware that all incentives, bonuses, loyalty points, and rewards depend solely on actual product purchases and sales, and not on recruitment activities.
iii. Direct Sellers must cooperate in obtaining correct details, completing verification, and ensuring that every incoming participant receives access to catalogues, price lists, product information, safe-use guidelines, and support resources. Any attempt to mislead or misinform a new participant shall be treated as a serious breach of this Code.
i. Every Direct Seller must maintain the highest standards of honesty, integrity, and ethical behaviour while interacting with customers, new joinees, business partners, or other Direct Sellers. At no stage shall a Direct Seller misrepresent product attributes, exaggerate benefits, claim therapeutic effects not approved under applicable laws, or provide unverified, non-scientific, or misleading health assurances.
ii. Additionally, the Direct Seller shall never promise, guarantee, or imply specific earnings, assured rewards, or fixed returns from the business. All representations must be limited strictly to approved material issued by the company. Selling practices must remain fair, transparent, and non-coercive, and the Direct Seller shall avoid aggressive marketing tactics, pressure selling, deceptive persuasion, or exploitation of vulnerable individuals. The Direct Seller shall conduct themselves in a manner that reflects professionalism and preserves the reputation of VCN at all times.
iii. The Direct Seller shall not, directly or indirectly, demand, collect, receive, or solicit any money, deposit, subscription fee, security amount, training fee, entry fee, or consideration of any nature from any prospective customer, Direct Seller, Preferred Customer, or Business Centre applicant, other than the officially published price of products purchased through authorised Company channels.
iv. Any violation of this clause shall be treated as a serious breach amounting to unlawful inducement and shall result in immediate termination, forfeiture of incentives, and initiation of legal proceedings where necessary.
i. Each Direct Seller must understand that VCN operates in a regulated sector and is therefore required to follow legal requirements relating to direct selling, marketing, health supplement sales, labelling, packaging, and consumer rights. The Direct Seller is responsible for familiarising themselves with the company’s Direct Seller Agreement, Compensation Plan, policies, Standard Operating Procedures (SOPs), and the present Code of Conduct, and must comply with them fully.
ii. The Direct Seller shall not indulge in any activity prohibited by the Consumer Protection (Direct Selling) Rules, 2021, including but not limited to: misleading representations, recruitment-based incentives, chain marketing, unfair trade practice, falsification of documents, or withholding of consumer receipts. The Direct Seller shall also comply with FSSAI guidelines for supplement products, refrain from offering medical advice, and ensure that all representations are consistent with statutory requirements.
i. Direct Sellers must describe VCN’s products strictly in accordance with the company’s official literature, labels, permitted claims, and instructions for use. Since VCN deals with health supplements, nutraceuticals, skincare, and wellness products, Direct Sellers must exercise caution while educating customers. They shall not claim or suggest that the products cure diseases, treat medical conditions, or provide results beyond what is lawfully permissible.
ii. Further, Direct Sellers shall ensure that customers understand the correct usage, benefits, limitations, pricing, warranty (if any), and after-sales support available for the products. Any alteration, exaggeration, or misrepresentation of product claims may lead to termination of the Direct Seller and may create legal liability under consumer protection laws.
i. VCN strictly prohibits any engagement that resembles pyramid schemes, money circulation schemes, enrolment-based commissions, or any activity in violation of the Prize Chits & Money Circulation Schemes (Banning) Act, 1978. Direct Sellers must not promise, imply, or commit any income projections, high earnings, passive income opportunities, or financial gains that are not based on genuine product sales.
ii. A Direct Seller must ensure that prospective participants clearly understand that earnings depend solely on personal effort, product sales volume, consumer demand, and compliance with the approved Compensation Plan. Any representation contrary to this principle will be treated as a grave violation.
iii. The Direct Seller expressly acknowledges and agrees that the Company does not guarantee, assure, represent, or warrant any particular level of income, profit, rank, incentive, success, business growth, or financial outcome. Any earnings or incentives that may be generated by a Direct Seller depend entirely upon individual effort, product sales, customer demand, market conditions, compliance with Company policies, and lawful conduct.
iv. The Direct Seller further confirms that no representation, promise, inducement, or assurance of assured income, fixed returns, passive earnings, or guaranteed success has been made by the Company or by any person acting on its behalf. Any illustrations, examples, or explanations provided are purely indicative and shall not be construed as promises or commitments.
i. Every Direct Seller must prioritise customer satisfaction and uphold fairness in dealings. Direct Sellers are responsible for ensuring that all customers receive their products in a timely manner, obtain proper receipts, and are made aware of return/refund policies as per company guidelines. Direct Sellers must assist customers in initiating returns or refunds in accordance with the company’s processes and may not refuse to facilitate a genuine claim.
ii. The Direct Seller shall also ensure that customers are regularly informed about new product updates, support channels, and correct usage guidance, thereby maintaining long-term trust and professionalism.
i. Direct Sellers may gain access to personal data, customer particulars, and information relating to the company’s operations. All such information must be treated with strict confidentiality. Direct Sellers are prohibited from sharing, selling, distributing, or misusing such information for personal, commercial, or competitive gain.
ii. Communications on social media, online platforms, or public forums must be conducted responsibly, ensuring that no statements are made that harm the company’s reputation or violate regulatory guidelines. Direct Sellers shall promote content only as approved by the company and refrain from posting unauthorised claims, earnings displays, promotional videos, or product testimonials that may mislead the public.
i. A Direct Seller shall avoid situations where a conflict of interest arises or may appear to arise. This includes the promotion of competing businesses, unauthorised sharing of company information, and encouraging customers or downline members to join external organisations.
ii. Cross-line solicitation, poaching of team members, shifting of networks, or inducing other Direct Sellers to leave their sponsor without legitimate cause is strictly prohibited. VCN maintains an ethical and transparent network structure, and Direct Sellers must respect the placement, hierarchy, and business rights of others.
i. Where a Direct Seller operates, manages, or utilises a Digital Business Centre, such Direct Seller shall strictly adhere to all rules relating to lawful product sales, purchase volume, customer engagement, and ethical business conduct as prescribed by the Company from time to time.
ii. The Direct Seller shall not impose compulsory purchases, forced stocking, unreasonable sales targets, or financial pressure upon themselves, customers, or downline members. No fee or consideration shall be charged or collected for opening, maintaining, or operating a Digital Business Centre, and all business activity shall remain entirely voluntary, transparent, and product-centric.
iii. The Direct Seller shall maintain accurate and verifiable records of orders, invoices, receipts, personal sales, and customer interactions in such manner as may be required by the Company for compliance, audit, or regulatory purposes.
i. Violation of this Code of Conduct may result in disciplinary action, including but not limited to written warnings, suspension, withholding of commissions, termination of Direct Seller status, or deactivation of the Business Centre. In serious cases involving fraud, misrepresentation, or unlawful activity, including prolonged inactivity as defined under the Direct Seller Agreement, the company reserves the right to initiate legal action, file complaints with authorities, or seek damages arising from reputational harm or financial loss.
ii. Direct Sellers will be provided reasonable notice before termination unless the violation warrants immediate action under applicable law.
i. Every Direct Seller is required to read, understand, and accept this Code of Conduct before commencing any activity relating to product sales or business development. Acceptance may be obtained through signed forms, digital acknowledgement, online click-through mechanisms, or any format approved by the company. Once accepted, this Code becomes a binding part of the Direct Seller’s engagement with VCN.
ii. The Direct Seller acknowledges that all policies, Codes, Compensation Plans, notices, and compliance communications published on the Company’s website or portal shall constitute valid notice. Failure to read or remain updated shall not be a defence against non-compliance.
iii. The Direct Seller undertakes to periodically review all such documents and ensure continuous compliance.
iv. The Direct Seller expressly agrees and acknowledges that this Agreement and the Code of Conduct may be relied upon by the Company in any consumer complaint, police complaint, departmental inquiry, regulatory proceeding, arbitration, or civil litigation as evidence of lawful conduct, disclosure, compliance, and contractual obligations.
v. The Direct Seller waives any objection to the admissibility or reliance upon these documents in such proceedings.
14. Conclusion and Binding Effect
i. The Direct Seller acknowledges that this Code of Conduct forms an essential component of the ethical, legal, and operational framework governing the relationship between Falcon Marketing Pvt. Ltd. (“VCN”) and its independent Direct Sellers. By agreeing to and adhering to the provisions contained herein, the Direct Seller affirms his/her commitment to uphold the highest standards of integrity, professionalism, compliance, and transparency in all business interactions undertaken under the VCN brand.
ii. The Direct Seller further understands and accepts that the purpose of this Code is not merely regulatory, but foundational to maintaining trust among consumers, fellow Direct Sellers, and the Company. Compliance with the Code is therefore mandatory and continuous. Any conduct that violates its spirit or substance shall be treated as misconduct and may result in corrective action including, but not limited to, suspension, withholding of incentives, termination of Direct Seller status, or legal proceedings, depending on the severity of the breach.
iii. The Company reserves the unrestricted right to amend, modify, update, suspend, or withdraw any policy, procedure, Code of Conduct, Compensation Plan, product offering, incentive structure, or operational guideline in order to comply with changes in law, regulatory directives, judicial pronouncements, or internal business requirements.
iv. Such amendments shall become binding upon publication on the Company’s official website, portal, or communication channels, and continued participation by the Direct Seller shall constitute deemed acceptance of such modifications.
v. By executing the Direct Seller Agreement, or by continuing to operate as a Direct Seller with VCN, the individual expressly agrees to be governed by this Code of Conduct in its current and amended form, and undertakes to stay informed of any changes issued by the Company.
vi. The parties affirm their shared objective of fostering a transparent, compliant, ethical, and growth-oriented business ecosystem, ensuring that the VCN brand remains credible, legally compliant, and respected in the direct selling industry.
