Amazon reportedly circumvented Indian laws for years

0

Amazon would have privileged, for years, a small group of sellers on its platform in India and used the relationship with them to circumvent the country’s laws created to protect small retailers in the face of foreign investment from e-commerce giants. This is what the company’s internal documents obtained by Reuters and revealed on Wednesday (17) show.

According to the publication, 33 salespeople accounted for approximately one third of the total amount collected from sales on the Indian version of the platform in early 2019. In addition, two other large retailers, in which Jeff Bezos’ company had an indirect stake, held 35% of the site’s sales revenue in the same period.

As a result, only 35 sellers out of a total of more than 400,000 users of Amazon services in India were responsible for about two-thirds of online sales at that time, according to documents obtained by Reuters, dated from 2012 to 2019.

The reports also indicate the American giant’s assistance to Cloudtail, a retailer in which it has an indirect stake, in closing deals with manufacturers such as Apple. There is also mention of her control over the stocks of some of the platform’s top sellers, although the company publicly says that all users operate independently.

Amazon denies allegations

Accused of acting secretly to outwit the Indian government, Amazon commented that it never violated the country’s laws. She stressed that she had made some necessary changes to adapt to the evolution of local government policies, but always within legal limits.

As for the privileges offered to a few salespeople, the company denied giving special treatment to any tenant, claiming to treat them all in a “fair, transparent and non-discriminatory manner”. In addition, it claimed that each of them is responsible for controlling prices and managing their own stocks.