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RS International - Beware of RS International | Story of our Great Escape!
Posted on Saturday, June 1st, 2013 at 12:59pm CDT by Tamilarasan K.
Product: Paperplate Machinery
Company: RS International
Category: Delivery, Moving Services, Storage
We saw an Ad in "The Hindu" (a small peanut sized ad) stating that one can earn 50000 to 90000 per month with paperplate business by a company called R S International. We called them quoting the Ad and they asked us to send our address as an SMS to their number and said that they will send us all details. In a week's time we got a 4 page brochure detailing about various paperplate manufacturing machines ranging from Rs.40,000 to Rs.3,50,000. The price variation depends on the factors like
- If the machine is a manual or semi automatic or fully automatic
- If the machine has single die or double die etc
The brochure further explains the rate they provide for 1000 pieces and the amount of cups it can manufacture in 8 hours.
We asked them a reference of anybody who already bought this machine in our locality (Coimbatore) and they showed us a person called Karthik in Tiruppur. We visited his home and found that he had a manual machine (single die) costing Rs.85000 as in the brochure we received. Karthik said favorably about the company and we trusted his words. He said that he did this part-time and anybody doing this full time with this machine can earn en easy rs.8000 weekly. And if we plan to go for an automated machine, costing Rs.250,000 we can make 10000 cups in 8 hours. As this machine can run continuously for 24 hours as per their brochure, a guranteed 20000 cups can be made per day and they are taking 1000 pieces for Rs.230 which comes to 10000 cups for Rs.2300 and 20000 cups for Rs.4600. So, daily we can earn Rs.4600 which comes to Rs.1,38,000.
All looks good till this stage.
We also decided to buy this machine costing Rs.250,000. As everybody we wanted to negotiate this amount and so we called them up. Initially they said that the machine price cannot be negotiated. But when we quoted the same machine prices selling at lesser prices elsewhere, they agreed to discount Rs.30000 initially, then again another 20000 and then a 50000. Just 4 days, they agreed to give the machine for Rs.150,000 (a whopping 1 lac discount). Sounds crazy, but we started to question ourselves.
(Another person called Venkatesh has managed to buy the very same machine for Rs.75,000. i.e. half of the crazy 1.5 lacs. You can check the link here http://www.consumercomplaints.in/questions/rs-international-new-delhi-c12960.html)
Since our doubt strengthened, we asked Karthik for evidences of Bank Statements proving that RS International is paying them. He sent an Excel Statement from his ICICI account showing up transactions up to Rs.85000 credited to his account by RS International. But in that statement, he clearly has removed the Account Number field and inserted his Bank Name. We have ICICI accounts ourselves and we know that the statement would get saved only in the account number. And also the statement will contain the account number. May be the account number is confidential to him and he should have removed. That is perfectly fine. But when we asked why account number was not present, he confidently said that online statements of ICICI banks will not contain account numbers. That is weird as we ourselves have 2 ICICI accounts and we have checked that the account number will be present there. Why should he lie us then? Instead if he would have said that he could not share the account number, we would have trusted him.
Now, we started questioning ourselves!
- Why they should give the machine for such a discount?
- Everytime they call us or we call them they only ask when we are going to send money?
- The reference they provided (Karthik ) is clearly their person.
- Will they be really able to provide orders continuously? (A very reserved accounting we calculated above for you shows that they need to pay Rs.138000 every month for every customer who buys that "Fully Automatic single die machine")
- If we were able to take back the investment in less than 2 months and earn more than 1 lacs every month, why not everybody do this?
- Why they are advertising in faraway places from Delhi when there are so many people in Delhi looking for business opportunities?
So, we finally decided not to buy this machine and get pissed off our money. You please do your own research before buying from RS International or any other such company. They have huge profits by selling these machines. (see, they agreed for a discount of Rs.100,000 for a 2.5 lac machine!)
Companies like these prey on customers and they grow rich. They will not make you rich, nor will they stand by their promise of giving orders as per the agreement. Their agreement form itself is very unprofessional and has lot of typos.
We have attached the Email conversations we had with RS International, the (faked) Bank Statement their customer Karthik sent us etc as a proof that we have had discussions with RS International and have spent our time verifying their genuineness. We have attached all such proofs. Our experience with RS International clearly says that this company is trying to sell Paper Plate Machines for HUGE Profits hooking us showing orders that would earn us easy 50000 to 90000 and more every month! Please DON'T Loose your HARD Earned Money!
Even if you quote these complaints and ask them to clarify the default answer they will throw is that these kind of complaints are those of their competitors. No bloody f**in competitors to them. They just want to fool you and sell their machines.
Finally, if somebody tells you that there is easy money to be made, BEWARE! There is no short cut to success.