Snapdeal Fined ₹5 Lakh for Selling Unsafe Toys
The Central Consumer Protection Authority (CCPA) has taken decisive action against Snapdeal (Ace Vector Limited) for violating mandatory toy safety standards. In a recent ruling, the CCPA imposed a hefty penalty of ₹5,00,000 on the e-commerce giant for facilitating the sale of toys that do not meet the Bureau of Indian Standards (BIS) requirements, thereby compromising consumer safety and rights.
Under the leadership of Chief Commissioner Mrs. Nidhi Khare and Commissioner Mr. Anupam Mishra, the CCPA issued a final order against Snapdeal following a thorough investigation. The investigation found that toys listed on Snapdeal were not compliant with the Toys (Quality Control) Order, 2020, which has been mandatory since January 1, 2021.
Despite assurances from Snapdeal that non-compliant products would be removed, several such toys were still available on the platform as recently as December 2025. Furthermore, Snapdeal profited by collecting fees totaling ₹41,032 from sales made by two sellers, Stallion Trading Company and Thriftkart, who were identified as offering these substandard toys.
One significant lapse reported was the lack of essential information in product listings. Many toy listings did not disclose the manufacturer’s name, address, or the required BIS certification numbers. The CCPA criticized Snapdeal for not conducting adequate due diligence and relying on seller self-declarations without independent verification, which it labeled as inadequate safeguards against placing hazardous products on the market.
Snapdeal’s Defense Rejected
Snapdeal argued that it operates similarly to a physical shopping mall, positioning itself as a marketplace for third-party sellers. However, the CCPA rejected this claim, stating that Snapdeal has substantial control over its transactions, including promotional sales events and product quality claims. Such practices mislead consumers into believing they are purchasing safe and compliant toys.
Snapdeal’s spokesperson said, “As a marketplace, Snapdeal remains committed to providing a safe and trusted platform for consumers and ensures compliance under laws as applicable. The issue with regards to intermediary liability in similar matters are pending decisions by various high courts. The company will seek appropriate judicial review in due course”.
The CCPA emphasized the transition from the principle of _caveat emptor_ (let the buyer beware) to _caveat venditor_ (let the seller beware), asserting that it is now the responsibility of both the seller and the platform to ensure that all listed products adhere to safety and quality legislation.
Future Compliance and Consumer Protection
In addition to the financial penalty, the CCPA directed Snapdeal to ensure future compliance with BIS standards. The authority mandated that the platform guarantees no non-compliant toys would be listed or advertised and that contact information for consumer grievances must be clearly displayed to facilitate prompt resolutions.
The CCPA’s actions signify a strong commitment to protecting consumer rights and promoting a safe and transparent digital marketplace. The authority has called on all e-commerce platforms to enforce strict regulatory measures and provide accurate disclosures for the safety of consumers.
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