Raids at 2 Amazon, Flipkart warehouses in Delhi; goods worth Rs 76 lakh seized

Crackdown on E-commerce Firms: A search and seizure operation by the national standards body in parts of Delhi has led to the confiscation of goods worth Rs 76 lakh over allegedly sub-standard quality and non-compliance with labelling-related guidelines. The Bureau of Indian Standards (BIS)—responsible for ensuring aspects such as the quality of products for the end-consumer—seized goods like electric applicances and footwear during the operation. BIS functions under the Ministry of Consumer Affairs, Food and Public Distribution’s Department of Consumer Affairs.

Amazon, Flipkart Warehouses Raided in Delhi Over Alleged BIS Violations

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• The operation on Amazon Sellers’ warehouses, located in Mohan Cooperative Industrial Area in the national capital, lasted more than 15 hours on March 19 and led to the seizure of more than 3,500 products that were found to be both without the ISI mark or marked with fake ISI labels, according to an official release.
• These products included items like geysers, food mixers and other electrical appliances.

• "Amazon operates a marketplace in India. We require sellers who list and sell products on Amazon to comply with applicable laws, regulations, and Amazon policies. Upon being notified of any non-compliance, we take appropriate action. We are engaged closely with various stakeholders, including regulators, to provide customers with a great shopping experience," an Amazon India spokesperson said.

• A separate raid conducted at Flipkart subsidiary Instakart Services’ premises in the Trinagar area unearthed a stock of about 590 pairs of sports footwear, worth around Rs 6 lakh, packaged for dispatch without the necessary ISI mark and the date of manufacturing, according to the release.

• "As a marketplace, we work with local Indian sellers to drive awareness and to comply with all applicable laws. The platform has several processes to review the listings sellers make on the marketplace, and also conducts regular audits to ensure compliance," said a Flipkart spokesperson.

• The searches were latest in similar action by BIS in different parts of the country, seizing goods from Delhi, Gurgaon, Faridabad, Lucknow and Sriperumbudur in the past one month.
• The action is part of the standards agency’s ongoing efforts to enforce compliance with quality standards for consumer protection.
• Currently, there are 769 products notified for compulsory certification by various regulators, and line ministries under the Government of India.
• Manufacturing, importing, distributing, selling, hiring, leasing, storing or exhibiting (for sale) these products without a valid licence or Certificate of Compliance (CoC) from BIS is illegal.
• Any goods confiscated over the violation of the BIS rules can lead to imprisonment or fine or both.