The Chinese government has opened an investigation into allegations that Nu Skin Enterprises, the US direct sale skincare and dietary supplement company, operates an illegal pyramid scheme in China.
The accusations, first published on Wednesday in the People’s Daily, the official mouthpiece of the Communist party, were followed up yesterday with a statement from China’s State Administration of Industry and Commerce.
“The SAIC is paying close attention to this matter and has immediately required relevant industry and commerce authorities to conduct an investigation to verify [the claims],” the administration said. “If the situation is verified then industrial and commercial departments will deal with the matter according to laws and regulations.”