ED conducts raids at Amazon, Flipkart vendors in multiple cities under FEMA

The Enforcement Directorate (ED) has conducted at 19 premises located in Delhi, Bengaluru, Mumbai, Hyderabad and Panchkula in Haryana) at main vendors of Amazon and Flipkart under Foreign Exchange Management Act (FEMA).

The complaints alleged that the two e-commerce entities are violating FDI Rules by directly or indirectly influencing the sale price of goods or services and not providing level playing field for other Vendors. The agency has reportedly conducted raids in at Least 15 locations. Citing official sources, a report in Hindustan Times said that the Competition Commission of India (CCD during its anti-trust probe found the two e- commerce giants violated local competition laws and favoured select vendors. The probe also found that the two giants offered high discounts thereby harming interests of other firms.

Read more