New Delhi, February 16 (IANS). The Central Consumer Protection Authority (CCPA) on Monday imposed a fine of Rs 5 lakh on e-commerce company Snapdeal for selling non-BIS standards (poor quality) toys on its platform.
The regulatory body said it has taken strict action against e-commerce entities and sellers selling toys in violation of the Essential Toys (Quality Control) Order, 2020 and the standards set by the Bureau of Indian Standards (BIS).
In this regard, CCPA has fined Snapdeal (Ace Vector Ltd) for “indulging in unfair trade practices and misleading advertisements by promoting the sale of non-BIS standards toys on its platform”.
The CCPA, led by Chief Commissioner Nidhi Khare and Commissioner Anupam Mishra, issued the final order against Snapdeal, according to a statement from the Ministry of Consumer Affairs.
According to the regulator, Snapdeal earned fees of Rs 41,032 from the sale of these poor quality toys through two sellers named Stallion Trading Company and Thriftkart.
Many listings lacked essential information such as the manufacturer’s name, address and mandatory BIS certification number. The platform relied solely on sellers’ self-declarations without independent verification, which the CCPA deemed ‘inadequate’ to prevent the listing of dangerous products.
“Snapdeal defended itself by saying that it operates as a ‘marketplace e-commerce entity,’ similar to a physical shopping mall,” the CCPA said.
The agency rejected the comparison, saying Snapdeal exercises “adequate control” over transactions by managing extensive promotional sales such as “Toofan Sale” and “Deal of the Day” and providing quality assurances to products such as “good quality at the best price”, which turn out to be false guarantees when applied to goods that do not comply with BIS standards.
“It is the responsibility of the platform to ensure that each product listed meets the safety and quality standards, such as BIS certification for toys, and it is vicariously liable for any deficiency in service or any defect in the goods reaching consumers through its portal,” the regulatory body said.
CCPA further observed that when the Opposite Party was asked about guaranteeing the sale of BIS standards compliant toys on its platform in future, it failed to give any guarantee or express undertaking that the listing or display of non-BIS standards compliant toys would not happen again on the platform in future.
CCPA had issued notices to e-commerce entities and sellers such as Amazon, Flipkart and Snapdeal, Stallion Trading Company, Electronics Bazaar Store etc. for selling toys in violation of QCO and BIS standards mandated by the Central Government.
–IANS
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