‘Big Billion Day’ sale by Flipkart
continued to make news around the world as India’s Enforcement Directorate (ED)
now said it will probe if any norms were violated during the single day sale on
October 6.
The ED has sent a letter to Flipkart on
the basis of complaints received after the Big Billion Day sale and is investigating
whether any norms were violated during the sale day or not, though sources
claim that no evidence has been found against the e-tailer so far.
A separate probe on Flipkart is underway
since 2012 for alleged violation of the Foreign Exchange Management Act
(FEMA).Flipkart did not specifically comment on the matter but said the company
was in “complete compliance with the laws of the land and will cooperate with
authorities when required”.
After the Big Billion Day sale, many
consumers were left disgruntled because of poor consumer experience and
inflated prices. The popular response to the sale also left competitors bitter
with the traditional traders’ lobby complaining to the department of industrial
policy and promotion, seeking policy intervention.
The Competition Commission of India has
initiated a preliminary enquiry into the matter, but there are indications that
there may not be a case of predatory pricing against Flipkart.
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