Boston, MA 03\/24\/2014 (wallstreetpr) –\u00a0Nu Skin Enterprises, Inc. (NYSE:NUS)<\/b> has been found guilty of engaging in unlawful product sales while also providing misleading information to consumers, by a watch dog in China.\u00a0 As result, the company has been fined $540,000 as the watchdog tries to strengthen regulations in the country\u2019s sales market.<\/p>\n
Nu Skin Enterprises was being accused of selling its items outside the permitted range and also overstating its potential results from the sale of its products. This is according to a statement by China\u2019s State Administration for Industry &Commerce (SAIC). Some of the company\u2019s employees are also being accused of engaging in unsanctioned sales that mislead some consumers.<\/p>\n
The recent past has seen many direct sales firms come under fire in China as a result of being accused of organizing \u201cBrainwashing\u201d gatherings aimed at increasing their sales through unconventional and unaccepted ways.<\/p>\n
Nu Skin Enterprises, Inc. (NYSE:NUS) stock stabilized in the market surging by a high of 20% as a result of the Chinese authorities saying no further action would be taken on the company, after imposing the fines.<\/p>\n
Fines also imposed on the Company\u2019s Staff<\/b><\/p>\n
The latest probe has also seen some of Nu Skin Enterprises, Inc. (NYSE:NUS)\u2019 staff face individual fines totaling $241,000 with the company promising to take immediate action to correct the issues in the SAIC reviews.<\/p>\n
The company was also fined a further $16,000 on products that SAIC considered to lack enough supporting documents for use in the general market. Nu Skin Enterprises has also been asked to carry out enhanced supervision of its sales representatives to prevent any future repetition of the same matter.<\/p>\n
Nu Skin Enterprises Planning to Restart its Operations<\/b><\/p>\n
Nu Skin Enterprises, Inc. (NYSE:NUS) intends to seek direction from the Chinese government on its plans to restart its operation, having suspended them to comply with the regulatory reviews. Nu Skin Enterprises had previously suspended its promotional operation in the country amidst the heightened litigation case against it.<\/p>\n
Chinese laws only allow direct sales under limited conditions, there are also laws targeting people and companies which don\u2019t sale many products but at the same recruit new members.<\/p>\n","protected":false},"excerpt":{"rendered":"
Boston, MA 03\/24\/2014 (wallstreetpr) –\u00a0Nu Skin Enterprises, Inc. (NYSE:NUS) has been found guilty of engaging in unlawful product sales while also providing misleading information to […]<\/p>\n","protected":false},"author":32,"featured_media":17927,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":{"twitter_2902945987_2902945987":""},"rop_publish_now_history":[],"rop_publish_now_status":"pending","footnotes":""},"categories":[2236],"tags":[4454,4455],"stock_ticker":[],"class_list":["post-17921","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-nu-skin-enterprises-inc-nysenus","tag-nysenus","entry"],"acf":[],"yoast_head":"\n