Karnataka High Court Lifts Product Delivery Ban on QNET’s Indian Partner

The Karnataka High Court has ordered the Department of Posts to resume services to Vihaan Direct Selling, the Indian sub-franchisee of QNET, reversing an 18-month suspension. The court criticized the presumption of illegality without conclusive findings and emphasized fair proceedings without premature accusations hindering organizational reputation.

The Karnataka High Court has instructed the Department of Posts to promptly resume services for Vihaan Direct Selling (India) Private Ltd, the Indian sub-franchisee of QNET, putting an end to an 18-month suspension. This interruption had significantly affected product deliveries to customers nationwide.

The suspension, initiated in February 2024, stemmed from a 2019 advisory by the Ministry of Consumer Affairs due to ongoing criminal cases against Vihaan. However, the High Court clarified in its final ruling that unresolved investigations should not be equated with proof of wrongdoing.

The court highlighted the lack of concluded enquiries or affirmations by any court labeling Vihaan's operations as illegal. Additionally, the court cautioned that governmental statements prematurely suggesting misconduct could improperly influence proceedings and damage the company's reputation. The Department of Posts is now tasked with processing Vihaan's pending application and reinstating services within two weeks.

(With inputs from agencies.)