Kanwhizz has been grabbing headlines lately, but unfortunately, not for reasons it would want to celebrate. Marketed as a direct selling and MLM opportunity, the scheme is now under intense scrutiny, with fraud complaints, police cases, and even a CBI investigation linked to its operations.
This growing controversy has sparked serious concern across India and led thousands to ask the same pressing question:
Is Kanwhizz a genuine business opportunity or just another scam in disguise?
Let’s break it down and uncover what’s really going on
What Is the Kanwhizz Scheme?
The “Kanwhizz scheme” refers to the business plan offered by Kanwhizz Industries Limited, a multi-level marketing (MLM) and direct selling company in India.
The company has faced significant allegations of being an illegal pyramid or money circulation scheme, with multiple police reports (FIRs) filed against its founder and management.
But over time, the company became known more for its recruitment-heavy structure than its products.
Kanwhizz Real or Fake?
Kanwhizz claims to be an MLM company based in Bareilly, operating under Kanwhizz Industries Ltd. and offering products like cosmetics, health, and home care items through direct selling.
It promotes income through investment, recruitment, and bonuses, including claims of high or even double returns, promises that many users say never materialised.
A major red flag is its mobile apps. The KSM app link does not lead to any real app, while the Kanretail app is only available as an APK file, not on the Google Play Store.
Legitimate companies do not rely on APK downloads, as this method is often linked to scams, malware, and data theft.
Overall, the misleading app links, APK-based downloads, and unrealistic earning claims make Kanwhizz highly risky. Users should avoid investing money or installing any related apps until there is clear transparency and verified compliance.
Is Kanwhizz Safe?
Kanwhizz follows a multi-level marketing (MLM) business model, which is often controversial because income largely depends on building a network rather than selling products.
While MLMs can operate legally, many cross into pyramid-style structures where recruitment matters more than genuine sales, making them risky for most participants.
In such models, only early entrants typically benefit, while later members struggle to recover their investment. This is why authorities often investigate and ban MLM schemes after receiving consumer complaints.
Although official records still show Kanwhizz Industries Limited as “Active,” ground-level reports tell a different story.
On the ground, operations are said to be temporarily closed, with no visible product distribution, no functioning business centres, and no clear communication from the company.
This mismatch between official filings and real-world activity adds to the uncertainty and raises serious safety concerns for anyone considering involvement.
Let’s dig deeper into the red flags.
Kanwhizz Complaints
Kanwhizz has faced a growing number of complaints from people who say they were promised fixed or guaranteed income but never received it.
Most earnings were linked more to recruiting new members than to actual product sales, which raised serious concerns. Many users also reported that communication from the company stopped without warning.
Multiple complaints against Kanwhizz have been reported in Bareilly and Lucknow, leading to FIRs in 2023 against its founder, Kanhaiya Gulati.
Victims claim they were convinced to invest amounts ranging from ₹1.5 lakh to ₹20 lakh with promises of doubling their money within 30 months, but no returns were given.
Several people reported losing lakhs each, while one woman agent alleged a loss of ₹1.3 crore. The total loss is estimated to be in crores, and the actual figure may be higher due to a lack of proper records.
Other cases show the same pattern: one investor received only a single payout, while others were denied returns, threatened, or misled with promises of plots or “double money” schemes.
Common complaints include:
- Promises of a guaranteed or doubled income
- Earnings are dependent mainly on recruitment
- Non-payment of promised benefits
- Sudden shutdown of operations
- Complaints reported from multiple states
Many investors allege they were pressured to invest more money with assurances that income would increase as their network grew.
Instead, several participants claim they lost their investments entirely. These patterns closely resemble those seen in pyramid-style schemes.
Due to the large number of victims and the nationwide spread of complaints, the matter reached the Supreme Court of India. The Court described the case as having a “vast scale and complexity” and ordered a CBI investigation.
How to Identify MLM Red Flags?
To stay safe, avoid schemes that:
- Promise guaranteed returns
- Ask you to pay to join
- Pay earnings mainly through recruitment, not product sales
- Offer products with no real market value
- Push urgency like “join now or lose your chance.”
If it sounds too good to be true, it usually is.
How to Report Kanwhizz?
If you invested money in Kanwhizz or know someone who did, take these steps immediately:
1. Contact Your Bank
- Report the suspicious transaction
- Ask the fraud team to check the payment trail
2. File a Police Complaint
- Visit your local police station
- Explain the details clearly
- Attach payment proofs and screenshots
3. Consumer Complaint
You can file a case for cheating or unfair trade practices through the National Consumer Helpline (consumerhelpline.gov.in).
4. Keep All Evidence
- Payment receipts
- Chat messages
- Bank statements
These will help during the investigation.
Need Help?
If you want step-by-step support in filing your complaint, you can register with us.
We guide victims through documenting evidence and submitting official reports through proper legal channels.
Conclusion
Looking at the evidence so far, the situation around Kanwhizz raises serious concern. Fraud cases have been reported from multiple states, the matter has reached the Supreme Court, and the CBI is currently investigating the scheme.
At the same time, on-ground operations appear inactive, while victims continue to report heavy financial losses worth lakhs and even crores.
So, is it really worth the risk? All signs indicate that Kanwhizz is unsafe and legally troubled. Anyone considering joining should think twice and stay away, while those already affected should act quickly by filing complaints and seeking proper legal help.
