ED raids 19 places over alleged FEMA violations by Amazon, Flipkart
The Enforcement Directorate (ED) on Thursday conducted searches under the Foreign Exchange Management Act (FEMA) at 19 premises of main vendors of e-commerce giants Amazon and Flipkart across multiple cities, including Delhi, Bengaluru, Mumbai, Hyderabad, and Panchkula (Haryana).
ANI
Nov 07, 2024 16:50 IST
New Delhi [India], November 7 (ANI): The Enforcement Directorate (ED) on Thursday conducted searches under the Foreign Exchange Management Act (FEMA) at 19 premises of main vendors of e-commerce giants Amazon and Flipkart across multiple cities, including Delhi, Bengaluru, Mumbai, Hyderabad, and Panchkula (Haryana).
The raids are still underway as part of an ongoing investigation initiated by the ED after receiving several complaints against the Amazon and Flipkart companies.
The allegations suggest that Amazon and Flipkart, through their marketplace platforms, are violating Foreign Direct Investment (FDI) rules, said the federal agency.
As per the agency, Amazon and Flipkart are accused of directly or indirectly influencing the sale prices of goods and services, and not providing a level playing field for all vendors.
The Central agency said that its investigation is focused on determining the extent of these alleged violations," added the agency.
"ED initiated its FEMA investigation based on several complaints against Amazon and Flipkart. The e-commerce entities providing a marketplace that they are violating FDI rules by directly or indirectly influencing the sale price of goods or services and not providing a level playing field for all the vendors," it added. (ANI)
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