CCPA Imposes Rs.10 Lakh Penalty On Flipkart And Meta For Misleading Listings Of Walkie-Talkies

The Central Consumer Protection Authority has, in two separate orders, imposed a penalty of Rs.10 lakh each on Flipkart Internet Private Limited and Meta Platforms Inc for indulging in misleading advertisements and unfair trade practices by permitting the listing and sale of walkie-talkies on their platforms without mandatory disclosures required under law.

A coram of Chief Commissioner Nidhi Khare and Commissioner Anupam Mishra was dealing with matters relating to the sale of walkie-talkies on Flipkart and Facebook Marketplace's website and mobile application.

“It is important to note that consumers rely heavily on online descriptions, specifications, and images while shopping on e-commerce platforms, as they do not have physical access to the product. Moreover, the consumers rely on the platform of the Opposite party because of its goodwill and large presence in the market. “ It noted

The CCPA took suo motu cognizance against Flipkart Internet Private Limited and Meta Platforms Inc (Facebook Marketplace) over the sale of walkie-talkies on its website and application without necessary disclosures required by law.

CCPA, in its preliminary inquiry, observed that the listings failed to disclose whether the devices required a wireless operating licence or complied with applicable laws. The Authority also noted the absence of essential details such as frequency range and Equipment Type Approval (ETA) certification. Due to the absence of such details, the consumers could be misled into believing that walkie-talkies were legal for unrestricted use.

Finding a prima facie case of violation of consumer rights, misleading advertisement and unfair trade practices, the Authority referred the matter for investigation by the Director General of Investigation.

The DGI found that Flipkart allowed listings with incomplete or inaccurate technical details including missing frequency specifications. According to the report, Flipkart's reliance on mandatory product disclosures, seller verification and monitoring mechanisms was either inadequately implemented or entirely absent at the relevant time, thereby failing to meet the due-diligence standard required under the Consumer Protection Act, 2019.

With respect to Meta, DGI noted that as an intermediary under the Information Technology Act, 2000, Meta was required to exercise due diligence. The continued presence of unlawful listings despite prior notice and claimed remedial action showed shortcomings in its compliance.

On the contrary, Flipkart contended that it merely facilitates online transactions between third party sellers and buyers and that the buyers are specifically advised to verify the bonafides of sellers, exercise due care before purchase, and obtain any authorisation or approvals required for lawful use of the products purchased.

Meta contended that Facebook Marketplace does not function as an e-commerce platform, as it does not provide features such as add-to-cart, checkout, payment processing, shipping or delivery. It argued that any transaction, if at all, takes place entirely outside the platform.

Rejecting the plea of Flipkart and Meta, the Authority observed that ETA certification is compulsory for selling or listing wireless devices in India because it ensures consumer safety and compliance with the authorised frequency spectrum. It observed that ETA certification constitutes essential information which must be disclosed by both the e-commerce entity and the seller. The failure to disclose such information was held to amount to deliberate concealment, in violation of the Consumer Protection Act, 2019.

The Authority held “The listing, hosting and advertisement of walkie-talkies on the opposite party's e-commerce platform without disclosing ETA (WPC) certification amounts to a violation of the provisions of the Consumer Protection Act, 2019 relating to unfair trade practice and misleading advertisements.”

The Authority also held that Flipkart and Meta cannot function merely as passive intermediaries and that they are required to take reasonable steps to prevent the listing and sale of prohibited or non-compliant products.

“While it may contend that it is not the direct seller of the impugned devices, it nonetheless has a legal duty to ensure that such products are not offered for sale or permitted to be listed without mandatory disclosures and compliance with applicable laws. “ It noted

Accordingly, the Authority imposed a penalty of Rs.10 lakhs on Flipkart and Meta for indulging in misleading advertisement and unfair trade practice.

Case Title: Flipkart Internet Private Limited and Meta Platforms Inc

Case Numbers: CCPA-2/32/2025-ССРA and CCPA-2/31/2025-CCРА

For Flipkart Internet Private Limited: Advocates Dheeraj Nair, Vrishtyui Sahni and Sahir Seth

For Meta Platforms Inc- Advocate Payal Kamat, India Policy Manager, Ebaad Nawaz Khan, India Public Policy Manager, Mike Pow, Product Manager for Facebook Marketplace; Melissa Joyce, Product Counsel for Facebook Marketplace and Namrata Singh, Country Counsel (India)

Click here to read the order in the Flipkart case

Click here to read the order in the Meta case