The Central Consumer Protection Authority (CCPA) has imposed a ₹5 lakh penalty on Snapdeal (Ace Vector Ltd) for facilitating the sale of non-BIS compliant toys, terming it an unfair trade practice and misleading advertisement under the Consumer Protection Act, 2019.
In a final order, the regulator said Snapdeal violated the mandatory Toys (Quality Control) Order, 2020, which requires all toys sold in India to conform to Bureau of Indian Standards (BIS) norms. The rules have been in force since January 1, 2021.
Key findings by CCPA
Non-compliant toys remained listed till December 2025, despite claims of delisting Snapdeal earned ₹41,032 in platform fees from sales by two sellers.
Incomplete product disclosures, including missing manufacturer details and BIS certification numbers.
Inadequate due diligence, relying only on seller self-declarations.
Rejecting Snapdeal’s defence that it is merely a “marketplace” like a shopping mall, the CCPA said the platform exercises substantial control through promotional campaigns, quality tags, logistics, refunds and replacements—making it vicariously liable for unsafe products.
The regulator also noted Snapdeal failed to give a categorical assurance that non-BIS compliant toys would not reappear on its platform.
Directions issued
Snapdeal must ensure zero listing or promotion of non-BIS compliant toys going forward The platform must prominently display grievance redressal contact details. The action follows similar notices issued to major e-commerce platforms including Amazon and Flipkart, signalling tighter regulatory scrutiny of online marketplaces.
The CCPA said the shift from caveat emptor to caveat venditor squarely places responsibility for product safety on both sellers and platforms, reaffirming its commitment to a safe and transparent digital marketplace.