CCPA Fines Snapdeal ₹5 Lakh Over Unsafe Toy Sales
Online Marketplaces Warned After Toy Safety Breach
New Delhi: The Central Consumer Protection Authority (CCPA) has imposed a penalty of ₹5 lakh on Snapdeal (Ace Vector Limited) for allowing the sale of toys that failed to meet mandatory safety standards prescribed under the Toys (Quality Control) Order, 2020 and the norms of the Bureau of Indian Standards (BIS). The action follows a detailed investigation that found repeated lapses in compliance, misleading quality claims and inadequate verification of sellers on the e-commerce platform.
The order, issued by Chief Commissioner Nidhi Khare and Commissioner Anupam Mishra, held that Snapdeal engaged in unfair trade practices and misleading advertisements by facilitating the listing and sale of non-BIS-compliant toys even after the quality control regime became mandatory on January 1, 2021. The CCPA took suo motu cognisance of the matter after discovering that such toys continued to appear on the platform as recently as December 2025, despite earlier assurances that they had been delisted.
According to the investigation, Snapdeal earned fees amounting to ₹41,032 from the sale of these non-compliant toys through two identified sellers, Stallion Trading Company and Thriftkart. Several listings were found to lack essential information such as the manufacturer’s name, address and mandatory BIS certification numbers. The authority also noted that Snapdeal relied largely on seller self-declarations without conducting independent verification, a practice it described as inadequate for preventing the circulation of potentially hazardous products meant for children.
Snapdeal defended itself by arguing that it functioned only as a “marketplace e-commerce entity,” comparable to a physical shopping mall that merely provides infrastructure to independent sellers. The CCPA rejected this analogy, observing that the platform exercised substantial control over transactions through promotional campaigns such as “Toofan Sale” and “Deal of the Day,” the use of quality tags like “great quality at best price,” and its management of logistics, refunds and replacement policies. Such branding and promotional practices, the authority said, created an implied assurance of safety and quality that became misleading when applied to toys lacking mandatory certification.
The regulator underlined that India’s consumer protection framework has shifted from the principle of caveat emptor, or “let the buyer beware,” to caveat venditor, or “let the seller beware.” Under this approach, the responsibility for ensuring product safety rests not only with sellers but also with platforms that facilitate sales. By hosting and promoting listings of toys without BIS certification, the authority held that Snapdeal remained vicariously liable for deficiencies in service and defects in goods reaching consumers.
The authority further noted that when asked whether it could guarantee that only BIS-compliant toys would be sold on its platform in future, Snapdeal failed to give a categorical undertaking that non-compliant listings would not reappear. This, the CCPA observed, reflected gaps in the company’s due diligence mechanisms and its ability to ensure sustained compliance.
The regulator reiterated that toys which do not conform to compulsory standards are deemed “defective” under the Consumer Protection Act, 2019. Their sale amounts to misleading advertisement and unfair trade practice, particularly because such products are intended for children, a vulnerable consumer group. The continued availability of uncertified toys was therefore seen as a serious violation of consumers’ right to be informed and protected against hazardous goods.
An additional dimension highlighted in the final order is that Snapdeal forfeited its claim to “safe harbour” protection under Section 79 of the Information Technology Act because it failed to expeditiously remove unlawful listings even after acquiring actual knowledge of non-compliance. The authority traced the case through a prolonged inquiry process beginning in January 2023, followed by further information-seeking in November 2023 and detailed hearings in December 2025, underscoring that violations persisted despite regulatory engagement. It also recorded that the toys in question did not meet specific mandatory Indian Standards prescribed under the Toys (Quality Control) Order, 2020, including the IS 9873 series and IS 15644 for electric toys, and criticised the platform for not prominently displaying BIS certification details at the pre-purchase stage, thereby misleading consumers. While Snapdeal argued that no consumer harm had been proven, the CCPA rejected this defence, holding that the very sale of uncertified toys posed inherent risk, particularly to children, whose vulnerability was a key factor in determining the penalty.
In addition to imposing the monetary penalty, the CCPA has directed Snapdeal to ensure that no non-compliant BIS standard toy is listed, hosted, advertised or offered for sale on its platform in future. It has also ordered the company to prominently display its contact numbers, email address and grievance officer details to enable quicker consumer redressal, and to submit a formal compliance report within 15 days of the order.
The authority noted that similar notices had earlier been issued to other major e-commerce entities, including Amazon and Flipkart, as well as to individual sellers, for violations of the Toys Quality Control Order and BIS standards. Reaffirming its commitment to consumer safety, the CCPA urged all online marketplaces to adopt strict verification systems and ensure accurate disclosures so that unsafe or uncertified products do not enter the digital marketplace.
The regulator concluded that the sale of non-compliant toys posed a high safety risk to children and that platforms facilitating such trade could not evade responsibility by claiming intermediary status. The penalty and directions, it said, were necessary to protect consumer rights and to reinforce accountability in India’s rapidly expanding e-commerce sector.
– global bihari bureau
