Amazon to Pay Rs 1 Lakh Penalty for Sale of Poor Quality of Pressure Cookers

Amazon to Pay Rs 1 Lakh Penalty for Sale of Poor Quality of Pressure Cookers

New Delhi: The Central Consumer Protection Authority (CCPA) has imposed a penalty of Rs 1 lakh on e-commerce major Amazon for selling pressure cookers that did not meet quality standards. The CCPA also directed Amazon to notify the consumers of all these 2,265 pressure cookers sold through its platform, recall the products and reimburse the prices to buyers, the Department of Consumer Affairs said in a statement.

The authority, headed by Chief Commissioner Nidhi Khare, recently passed an order against Amazon for allowing the sale of domestic pressure cookers, in violation of mandatory standards, on its e-commerce platform.

The CCPA had initiated suo-motu action against e-commerce platforms for the sale of domestic pressure cookers in violation of compulsory standards.

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The authority had issued notices to major e-commerce platforms, including Amazon, Flipkart, Paytm Mall, ShopClues, and Snapdeal as well as the sellers registered on these platforms.

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

Amazon admitted that it earned a ‘sales commission’ fee for the pressure cookers sold on its platform. The CCPA observed 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 the sale of these items. In the order, CCPA has asked Amazon to notify all consumers of the 2,265 pressure cookers, recall the products and reimburse the amount to the buyers.

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Amazon has been asked to submit a compliance report within 45 days. “The company was also directed to pay a penalty of Rs 1,00,000 for allowing the sale of pressure cookers in violation to the QCO on its platform and violating rights of consumers.”


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