Network marketing has gained high popularity in many countries due to its wide spread business and also due to the increasing number of locals who are joining these companies to become independent representatives. Another important factor that is shining in the lime light is in regards to the presence of high incentive packages offered by these companies to their representatives in making particular volume of sales. Still there are many rumors about these MLM companies and these rumors are heard widely all throughout stating that most of these companies are scam and are functioning to take away the money from the people rather than doing a good service to the nation. One thing is very clear after discussing about this fact to all the representatives who are still sticking with the company and are actively contributing to boast up the sales volume of the company that these scams are only scams without even leaving a pinch of truth aside.