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The Central Consumer Protection Authority (CCPA) imposed a penalty of Rs 5,00,000 on Snapdeal (Ace Vector Limited) for engaging in unfair trade practices and misleading advertisements by facilitating the sale of non-BIS compliant toys on its platform. According to the Ministry of Consumer Affairs, Food & Public Distribution, the authority found the e-commerce entity in violation of consumer rights for allowing the sale of products that failed to conform to the mandatory Toys (Quality Control) Order, 2020.
The regulatory body, led by Chief Commissioner Nidhi Khare and Commissioner Anupam Mishra, issued the final order after taking suo-moto cognisance of the matter. The investigation revealed that toys were being sold on Snapdeal in violation of the quality standards that became mandatory on January 1, 2021. The CCPA observed that despite claims of delisting, non-compliant toys remained available on the platform as recently as December 2025. The platform earned fees amounting to Rs 41,032 from the sale of these toys through two identified sellers, Stallion Trading Company and Thriftkart. Lapses identified during the probe included a lack of transparency, as many listings lacked the manufacturer's name, address, and mandatory BIS certification numbers. The CCPA noted that the platform relied solely on seller self-declarations without independent verification, which the authority deemed "inadequate" for preventing the listing of hazardous products. Furthermore, the CCPA rejected Snapdeal's defense that it acts as a "marketplace e-commerce entity" similar to a physical shopping mall. The authority stated that Snapdeal exerted "substantial control" over transactions by managing platform-wide promotional sales like "Toofan Sale" and tagging products with quality assurances such as "great quality at best price." The CCPA observed that the shift from "caveat emptor" (let the buyer beware) to "caveat venditor" (let the seller beware) placed the burden of ensuring product safety squarely on both the seller and the facilitating platform. It held that toys which do not conform to the compulsory standards are liable to be held "defective" under the Consumer Protection Act, 2019. The CCPA further highlighted that Snapdeal failed to provide a guarantee or categorical undertaking that listings of non-BIS compliant toys would not reappear on the platform. Consequently, the authority directed the platform to ensure that no non-compliant BIS standard toy is listed or advertised in the future. Snapdeal was also ordered to prominently display contact numbers and Grievance Officer details to facilitate prompt consumer redressal. This action followed notices previously issued to other entities, including Amazon and Flipkart, for similar violations of quality control orders. (ANI)
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