Protect Yourself From the VPP Company Incorporation Scam

The Government of India mandates displaying the details of companies along with information such as address and director names as a part of clear corporate governance on the common portal. But scammers use this data to lure in innocent businessmen into their traps. The VPP company incorporation scam or the Postal Value Payable System Scam is one of such organized scams going on right now. VPP or Value Payable System is a system by the postal service where the receiver makes payment for the parcel they receive, more like cash on delivery system, scammers are taking advantage of this loophole by sending thick books through VPP to newly incorporated companies, labeling as required material from Ministry of Corporate Affairs. New Entrepreneurs out of excitement subscribe to such parcels by paying a premium like 999-5000 INR and once they unpack the parcel they get to know that there were badly scammed.

How to avoid such Scams?

To avoid falling for the VPP company incorporation scam, it is important to remember that the Ministry of Corporate Affairs or the Registrar Of Companies never send you such parcels by VPP, and they never demand any amount through such models. As a known citizen, you are requested not to fall for dubious schemes.

How to Identify Such Scams?

To identify the VPP company incorporation scam, keep in mind that the Ministry of Corporate Affairs or the Registrar Of Companies never send you such parcels via VPP that require you to make payment in these schemes. If you receive a call from the post office informing you that you have a VPP parcel waiting for payment and you haven’t requested anything like that, it’s most likely a VPP company incorporation scam. Generally, such parcels are labeled as “Books For Your Company” etc., so if you don’t remember ordering something like that to your registered office, never accept such parcels.

Image Credits: Indian Consumer Complaints Forum

This scam is not just limited to freshly incorporated companies; such companies trace back director details and send such parcels labeling as “Check Lists For Directors Of Companies” from Ministry Of Corporate Affairs, Registrar Of Companies, some dummy Book Publication or Law House.

Hence, if you receive such a VPP parcel and don’t remember ordering anything through VPP, Do Not Accept Such Parcels. Protect yourself and your business from the VPP company incorporation scam by staying vigilant and informed.

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Update: 18-04-2023

The impact of this scam is devastating to small business owners, many of whom invest their life savings and take on significant debt to start a business. Falling victim to the VPP Incorporation scam can result in significant financial losses.

We must take action to put an end to the VPP Incorporation scam and hold the postal service and scammers accountable. By signing this petition, we demand that the Indian government takes action to protect small business owners from this growing threat. Together, we can make a difference and create a safer and more just environment for entrepreneurship in India.

Please Sign The Petition if You Believe Our Cause By Clicking Here.