ED raids 19 locations linked to vendors selling on Amazon, Flipkart

Multiple teams of the Enforcement Directorate Thursday conducted searches at 19 premises of vendors selling their products on e-commerce platforms Amazon and Flipkart. The raids were conducted in Delhi, Bengaluru, Mumbai, Hyderabad and Panchkula.

An official said ED decided to initiate its investigation under the provisions of the Foreign Exchange Management Act (FEMA) based on complaints that the e-commerce platforms are violating India’s FDI (foreign direct investment) rules by directly or indirectly influencing the sale price of goods or services and not providing a level playing field to vendors.