FIR filed against an online shopping site for selling counterfeit products


E-commerce business Shopfaced with controversy over FDI violations in the country, was hit by a FIR filed by a client in Lucknow for allegedly defrauding him.

In the FIR, filed at Mohanlalganj Police Station in Lucknow on January 15 and seen by IANS, Complainant Shashank Shekhar Singh said he ordered products online from Shopee on December 10, but received duplicate products.

The FIR has named Shopee, its parent company SPPIN India Pvt Ltd, based in Bengaluru, and senior company officials.

According to Singh, he ordered three products worth Rs 840, Rs 399 and Rs 1,299 from Shopee. What he received were not the products featured on the platform but the fake variants, accusing the e-commerce platform of defrauding him.

Last month, the Confederation of All Indian Traders (CAIT) urged the Minister of Finance Nirmala Sitharaman and Commerce Minister Piyush Goyal to ban Shopee, which he said was operating in India against FEMA rules and the 2020 FDI press release.

CAIT accused Chinese e-commerce company Shopee of breaking the rules.

Shopee is a Singapore-based company which commenced operations in India through an entity, SPPIN India Pvt Ltd, owned by two holding companies, SPPIN I Pvt Ltd and SPPIN II Pvt Ltd, both registered in Singapore, l traders body said in the letter.

“These two entities are, in turn, owned by another parent company SPIN Ltd, registered in the Cayman Islands. This complex structuring of entities is nothing but an attempt to deceive the Indian government and inject Chinese funds into India,” CAIT Secretary General Praveen Khandelwal wrote in the letter.

The merchants body also accused Shopee of adopting “predatory pricing tactics”, thereby distorting competition in the marketplace.

In November, the Delhi High Court asked the Center to respond to a plea seeking to block e-commerce websites and mobile apps operated by SPPIN India Pvt Ltd as Shopee.


best comment

Ban all Chinese online shopping sites to protect our citizens from fraud – China is synonymous with cheating and deception


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