Mumbai, May 20: In a landmark decision, the Mumbai Suburban District Consumer Disputes Redressal Commission ordered Amazon Seller Services Pvt. Ltd. to pay INR 40,000 to a woman from Borivali for not delivering an INR 100 rakhi she had ordered before Raksha Bandhan.

On August 2, 2019, Sheetal Kanakia, the complainant, ordered a "Motu Patlu Kids Rakhi" for her nephew. Amazon promised delivery between August 8 and August 13, but the rakhi never showed up. Later, Kanakia learnt that the tracking number was a hoax and that Poonam Courier, the purported courier service, had shut down, reported Free Press JournalAmazon Clarifies No Import Charges Planned for Ultra Low-Cost Haul Store Following Reports.

Amazon refunded the INR 100 on August 14 following several follow-ups and a legal notice, but it provided no justification or responsibility for the non-delivery. According to the consumer court, this constituted a "clear case of deficiency in service and unfair trade practice. " Amazon To Launch Low-Priced Fashion and Lifestyle Vertical ‘Bazaar’ in India, Items Sold via Bazaar Will Be Priced Under Rs 600: Report.

Additionally, the court dismissed Amazon's argument that it was only a facilitator, emphasising that the platform was liable because it had kept the money and given it back directly. The Commission compensated Kanakia INR 40,000, taking into account her emotional distress and carelessness.

(The above story first appeared on LatestLY on May 20, 2025 08:04 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).