In re Amazon Seller Services Private Limited (CCPA Delhi)
Summary: The Central Consumer Protection Authority (CCPA), in proceedings against Amazon Seller Services Private Limited, examined the listing and sale of commercially produced sweets on Amazon under descriptions such as “Shri Ram Mandir Ayodhya Prasad” without authorization, affiliation or endorsement from the Shri Ram Janmabhoomi Teerth Kshetra Trust. Following a representation dated 19th January 2024, the CCPA issued a Show Cause Notice the same day concerning Rule 4(3) and Rule 5(3)(a) and (e) of the Consumer Protection (E-Commerce) Rules, 2020 and Sections 2(9) and 2(28) of the Consumer Protection Act, 2019. Amazon submitted that it was a marketplace intermediary entitled to safe harbour under Section 79 of the IT Act and had taken down the listings after the SCN. The Authority held the safe harbour defence legally untenable in the context of independent consumer-protection obligations. It found that the platform failed to ensure adequate compliance with seller-disclosure and due-diligence obligations and imposed a penalty of ₹1,00,000 under Section 21, directing stronger safeguards against misleading religious-offering listings.
Facts and Background
The matter arose from a representation dated 19th January 2024 made by the Confederation of All India Traders (CAIT), addressed to the Hon’ble Minister for Commerce & Consumer Affairs, Government of India, and forwarded to the Central Consumer Protection Authority (CCPA) by the Department of Consumer Affairs.
