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CCPA penalises Paytm mall and Snapdeal

There seems to be no rest for Paytm as it finds itself tangled in another issue. It’s mall has been penalised by the Central Consumer Protection Authority (CCPA).

The CCPA, a regulatory body to protect the rights of consumers has slapped a fine of Rs 1 lakh on both Paytm mall and Snapdeal over the sale of pressure cookers below quality standards.

Both the ecommerce websites have been selling pressure cookers that do not conform to the quality norms of Bureau of India Standards (BIS). The Department of Promotion of Industry and Internal Trade (DPIIT) had notified compulsory usage of standard mark for pressure cookers, CCPA said. The fine was imposed after giving both companies a fair chance of being heard.

Snapdeal has said that it took down the products and banned 3 people from its platform. However, it also says that it is only a tech platform and is not liable for the actions of a third party. The CCPA has argued that since Snapdeal collects a platform fee, it is deemed to be liable.

Paytm agreed that it was responsible but added that it’s sellers were unaware that their products were regulated and required certification. Both companies are required to inform all the customers who purchased the product from their platform in the last 45 days.

Highlight by Aman Agarwal.

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