Chinese ecommerce portal Club Factory is again under investigation, and this time, it’s the issue of selling drugs without prescription.
Meanwhile, they have just crossed 10 crore users in India.
Club Factory Is Selling Drugs Without Prescription
As per a recent complaint filed, Club Factory has been accused of selling Schedule H type drug, without any prescription.
As per the current laws, this is not allowed in India.
On this issue, Food & Drug Administration in Greater Mumbai has written a letter to Food & Drug Control Administration in Gandhinagar, Gujarat, asking them to investigate the issue.
A retailer named SixthSense from Surat delivered an order of Schedule H drug, which was placed on Club Factory by Deepak Patel from Mumbai.
In the letter which was sent by Food & Drug Administration in Greater Mumbai, it has been mentioned that there was no prescription of the drug, which was delivered to Deepak by SixthSense.
And, SixthSense also didn’t furnish their drug license in the invoice while delivering the order, which is a mandatory requirement.
Club Factory has strongly condemned this act by the seller, and they have emphasized that selling of drugs is not allowed on their platform.
A spokesperson said, “We are working towards implementing measures to prevent the listing of such products under disguise in other categories. We are committed to work with concerned stakeholders and investigators to safeguard the interests of our valued users. We are also open to cooperating with other e-commerce players facing similar issues to curb such malpractices,”
Earlier, we had reported how Club Factory is selling fake products, officially. And such was the heat generated that Ray-Ban, Titan had to issue statements stating that they don’t have any link with Club Factory or their sellers.
Club Factory Crosses 10 Crore Users In India
Meanwhile, in a big development, Club Factory has now crossed 10 crore active users in India, and have increased their sales 4X in 2019.
Club Factory founder and CEO Vincent Lou also mentioned the fact that they have now reduced the delivery time by 30%, and the average positive product rating has increased by 40% in the same time.
Return of products too has come down by 25%.
In order to expand their presence, Club Factory has introduced zero commission sale for sellers: This means, that sellers need not pay any commission for selling their products on Club Factory.
We will keep you updated, as more details come in.
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