Participants attend a training session organised by a multi-level marketing company in Việt Nam. The competition regulator fined six licensed MLM firms in 2025 following inspections that found regulatory violations. — Photo from social media

HCM CITY — Việt Nam’s competition regulator has disclosed that six licensed multi-level marketing (MLM) companies were fined a combined VNĐ1.31 billion (US$49,600) in 2025 for regulatory violations, according to its newly released annual report.

The National Competition Commission, under the Ministry of Industry and Trade, said that it inspected six licensed MLM companies last year and found all had breached rules on business operations, reporting and participant management.

The companies were fined for violations including failing to update business registration information, operating outside approved procedures, failing to supervise distributors, breaching reporting obligations, and not complying with training requirements for sales representatives.

Some companies also conducted MLM activities in localities without obtaining the required approval from provincial authorities, while others failed to meet a legal requirement that at least 20 per cent of annual MLM sales revenue come from customers outside their distributor networks, the report said.

Seacret Vietnam Co., Ltd. received the largest fine, at VNĐ455 million ($17,235), followed by Mỹ Lợi Trading One Member Co., Ltd. with VNĐ265 million. Best World Vietnam Co., Ltd., Elken International Vietnam Co., Ltd., Unicity Marketing Vietnam Co., Ltd. and Care For Vietnam Co., Ltd. were also fined.

The commission said it ordered the companies to rectify the violations and said the inspection results would be used to strengthen oversight of the sector.

The regulator received 25 complaints related to multi-level marketing activities in 2025, including four reports alleging illegal pyramid-selling operations. Those cases were either handled by the commission or referred to police for further investigation.

As of the end of 2025, Việt Nam had 15 licensed multi-level marketing companies, one fewer than in the middle of the year.

The commission said the sector remained stable and was under close regulatory supervision, with no major violations reported.

The report also showed broader enforcement of Việt Nam's competition laws.

The commission investigated 72 suspected competition violations during the year, handled 12 unfair competition cases resulting in fines totalling VNĐ2.4 billion, and pursued investigations involving the postal, logistics, livestock and retail sectors. — VNS