Taking cognisance of the allegedly misleading consumers through walkie-talkie advertisements and product listings that omitted key information on operating frequencies and licensing requirements,
The Central Consumer Protection Authority (CCPA) has imposed a penalty of Rs 1 lakh on Hogar Technologies and Innovations LLP.
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According to an official statement by the CCPA, the penalty was imposed under the Consumer Protection Act, 2019, by the authority led by Chief Commissioner Nidhi Khare and Commissioner Anupam Mishra.
The authority found that product listings on the company's website did not adequately disclose the frequencies at which the walkie-talkies operated, the licences required for their use or the relevant regulatory approvals.
Such omissions could create the impression that the devices could be operated legally without obtaining the necessary authorisation, it said.
The penalty comes amid a wider regulatory crackdown on the sale and online promotion of walkie-talkies without mandatory disclosures about the conditions governing their use.
Under the Use of Low Power and Very Low Power Short Range Radio Frequency Devices (Exemption from Licensing Requirement) Rules, 2018, personal mobile radios operating in the 446.0-446.2 MHz frequency band are exempt from licensing, subject to prescribed conditions.
Devices operating outside this range must comply with applicable regulatory requirements.
During the proceedings, Hogar Technologies said it possessed a valid Dealer Possessing Licence (DPL) and that its devices were covered by Equipment Type Approval (ETA) certifications.
The company also argued that its website was intended for information and lead generation rather than direct online sales, as it did not have a payment gateway or shopping cart.
The CCPA rejected these arguments, holding that the existence of regulatory approvals does not remove an advertiser's obligation to provide consumers with accurate, complete and material information before a purchase decision.
It also said that the absence of a direct online payment facility does not exempt promotional content from scrutiny under the consumer protection law.
According to the authority, withholding information about operating conditions and licensing requirements could mislead buyers and expose them to potential legal and financial consequences.
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The action against Hogar Technologies forms part of a suo motu investigation initiated by the CCPA into the large-scale sale of walkie-talkies on e-commerce platforms without the required regulatory disclosures.
The authority identified more than 16,970 non-compliant listings and issued notices to 13 e-commerce entities, including Amazon, Flipkart, Meesho, Meta's Facebook Marketplace, JioMart, IndiaMART and TradeIndia.
Final orders have been passed against 12 entities so far, with cumulative penalties amounting to Rs 58 lakh. Amazon Seller Services, Flipkart Internet, Meesho, Meta Platforms and TradeIndia (Infocom Network) were each fined Rs 10 lakh.
Penalties of Rs 1 lakh each were also imposed on JioMart, Chimiya, MaskMan Toys, Talk Pro (Iconet Services), Sanchar Wireless Communications, Antriksh Technosys and Hogar Technologies and Innovations.
Some companies have challenged the orders. Amazon and Flipkart have approached the Karnataka High Court, while Meta and TradeIndia have moved the National Consumer Disputes Redressal Commission (NCDRC).
The commission has directed TradeIndia to deposit the penalty amount. IndiaMART InterMESH has separately approached the Delhi High Court against the proceedings, which remain under consideration before the CCPA.
The authority reiterated that advertisements and product listings for walkie-talkies must clearly disclose operating frequencies, licensing conditions and other material regulatory information to ensure consumers are not misled about the lawful use of the devices.
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