India Imposes Rs 1 lakh Fine On Amazon For Selling Substandard Pressure Cookers

India Imposes Rs 1 lakh Fine On Amazon For Selling Substandard Pressure Cookers

India Imposes Rs 1 lakh Fine On Amazon For Selling Substandard Pressure Cookers

India has imposed an Rs 1 lakh fine on e-commerce major Amazon for allowing the sale of domestic pressure cookers in violation of mandatory standards on its e-commerce platform.

The country’s CCPA has directed Amazon to notify consumers of all 2,265 pressure cookers, recall and reimburse the prices of such pressure cookers to consumers, and submit a compliance report in 45 days. The CCPA, headed by Chief Commissioner Nidhi Khare, has also directed Amazon to pay a penalty of Rs 1 lakh for allowing sale of pressure cookers in “violation” to Quality Control Order (QCO) and “violating” the rights of consumers.

“After examination of the response submitted by the company, it was observed that a total 2,265 pressure cookers not conforming to mandatory standards were sold through Amazon after notification of the QCO. The total fee earned by Amazon on sale of such pressure cookers through its platform was Rs 6,14,825.41,” the CCPA said in a statement.

The statement said, “Amazon admitted that it earned ‘sales commission’ fee for the pressure cookers sold on its platform. It was observed by CCPA that when Amazon earns commercially from each sale of the product listed on its e-commerce platform, it cannot disassociate itself in case of issues arising from sale of products through its platform.”

“In the order, CCPA directed Amazon to notify all consumers of the 2,265 pressure cookers sold on its platform, recall the pressure cookers and reimburse their prices to the consumers and submit a compliance report of the same within 45 days. The company was also directed to pay a penalty of Rs 1,00,000 for allowing sale of pressure cookers in violation to the QCO on its platform and violating rights of consumers,” it said.

The statement added that the CCPA had passed a similar order of penalty and recall of defective pressure cookers against Paytm Mall, which complied with the direction passed by CCPA and deposited the penalty of Rs 1 lakh.

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