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2h ago

India Opens Probe Into E-Commerce Cash-on-Delivery Surcharges After Viral Complaint

Regulators say undisclosed add-on fees qualify as dark patterns under consumer protection rules.

The action follows the union minister's response to a viral social media post.
The move to scrutinise delivery and other fees by online platforms comes during the annual festive season when shoppers throng markets and online sales peak. (Representative photo)
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Overview

  • Consumer Affairs Minister Pralhad Joshi said a detailed investigation is underway with platforms under close scrutiny and warned of strict action against violators.
  • A viral post on X showed a Flipkart checkout adding Rs99 'offer handling', Rs48 'payment handling' and Rs79 'protect promise' fees, totaling Rs226.
  • Reports highlight that other platforms, including Amazon, Zepto and food-delivery apps, have added small CoD or handling surcharges that appear at checkout.
  • India formally defined 13 dark patterns in 2023, and recent enforcement has included a Rs2 lakh penalty on FirstCry for misleading pricing and a Rs5 lakh fine on Drishti IAS for deceptive advertising.
  • Officials have instructed e-commerce firms to ensure transparent disclosures and warned of further action, with no specific penalties announced yet in the CoD fees probe.