Consumer body seeks DCGI intervention against Snapdeal for alleged counterfeit products

Ahmedabad: Consumer rights’ body Consumer Education and Research Centre (CERC), Ahmedabad has approached the Drug Controller General of India seeking action against Snapdeal for allegedly selling counterfeit products on the platform. 

CERC has written to Dr. S. Eswara Reddy, Drug Controller General of India, asking him to intervene urgently. CERC has also sent the findings to the Ministry of Commerce and Industry and Department of Consumer Affairs, Government of India to take steps in consumer interest.

CERC has sought that DCGI intervenes and ensure that Snapdeal withdraws all products with incomplete labelling and inflated prices – much higher than MRP–from their website. Secondly, Snapdeal should be made to recall the products sold to consumers and compensate them for purchase of potentially harmful products. Also, Snapdeal should be made to have a transparent policy for selection of vendors and products, and take strict action against vendors violating the policy, it said.

CERC conducted an online survey of personal care products and cosmetics sold on e-portals Snapdeal and Nykaa. The findings of our survey, which compared 25 products, were startling and raise several questions about the genuineness of products sold on Snapdeal, it said. CERC claimed that it found 50% to 92% difference in prices of the same products on Nykaa and Snapdeal. It raised eyebrows over highly inflated MRP and unbelievable discounts on Snapdeal, pointed out that the platform did not mention expiry date for cosmetics products. 

Responding to the allegations, Snapdeal spokesperson told ET through an email: “We have taken note of the instances cited by CERC and these will be investigated and acted upon swiftly.”

The Snapdeal spokesperson added: Snapdeal requires all its sellers to operate in compliance with applicable laws and regulations. As an intermediary connecting buyers with independent third-party sellers, Snapdeal has a well-defined take-down process as required by law. Verified complaints are acted upon promptly, including delisting products and barring sellers from accessing the marketplace.

“The issue of unscrupulous sellers mis-using online marketplaces to sell fake goods is a global problem. Through its anti-counterfeiting initiative, "Brand Shield", Snapdeal works closely with brands to make it simple for brands to report any instance of counterfeits that may get listed on our marketplace. Post verification of the information provided by the brands, such listings are removed by Snapdeal within one business day,” the spokesperson added.