The Centre Proposed Ban On Fraudulent Flash Sales And Mis-Selling On E-comm Platforms
- ByStartupStory | June 22, 2021
On Monday The Centre proposed ban on fraudulent flash sales and mis-selling of goods and services on platforms to the Consumer Protection (Ecommerce) Rules 2020. Registration of these entities was also made mandatory with DPIIT. Some of the other amendments being proposed include appointment of chief compliance officer and resident grievance officer. The Consumer Protection (ECommerce) Rules, 2020, were first notified in July last year. Their violations attract penal action under the Consumer Protection Act, 2019.
Anupam Mishra, joint secretary in the consumer affairs ministry, said in a public notice, “Views/ comments/ suggestions on the proposed amendments may be sent within 15 days (by July 6, 2021) by email to js-ca@nic.in.”
Ecommerce entities will also be required to provide information not later than 72 hours of the receipt of an order from a government agency for prevention, detection and investigation, and prosecution of offences under any law, as per the proposed amendments. Further, the ministry notified, “Conventional ecommerce flash sales are not banned. Only specific flash sales or back-to-back sales which limit customer choice, increase prices and prevent a level playing field are not allowed.”
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