High Court Issues Nine Directives to Curb Online Business Fraud and Protect Consumers
The High Court has issued nine directives aimed at preventing fraud in online businesses and raising consumer awareness. Moving forward, all entrepreneurs operating through online platforms in Bangladesh must adhere to these guidelines.
The directives were outlined in a verdict delivered by the High Court bench of Justice Mustafa Zaman Islam and Justice S.M. Masud Hossain Dolon. The ruling was given while disposing of a rule regarding the reopening of the showroom "Sanviss by Tani," owned by entrepreneur Robaiyat Fatema Tani, which had been sealed off by authorities. Advocate Md. Khalequzzaman represented Tani in court, while Advocate Lubna Yasmin appeared on the opposing side.
The court further stated that a regulatory guideline for online product sales would be formulated. The certified copy of the verdict has recently been made public.
The nine directives issued by the court include compliance with existing laws, ensuring lawful business operations, protecting the rights of consumers and entrepreneurs, and implementing a mandatory registration system for online businesses through the Directorate of National Consumer Rights Protection. Additionally, strict monitoring will be imposed to prevent unauthorized businesses, particularly those selling counterfeit versions of branded foreign clothing as original products.
The ruling also mandates the verification of online business entrepreneurs, administrators, and consumers using national identification documents. Regulatory bodies such as the Bangladesh Telecommunication Regulatory Commission (BTRC) will be required to maintain records of online business entities. Furthermore, authorities must conduct widespread awareness campaigns to alert consumers against fraudulent businesses and unregistered sellers. The Consumer Rights Protection Act, 2009 is to be amended to enable legal action against deceptive online businesses.
The case stemmed from a complaint filed by Lubna Yasmin, who had purchased clothing from "Sanviss by Tani" on February 9 and later lodged a complaint with the Directorate for National Consumer Rights Protection (DNCRP) on April 3, after 53 days. Following the complaint, on May 12, DNCRP’s Assistant Director Jabbar Mondol conducted a raid and sealed the main showroom of the business.
Subsequently, on June 10 last year, Robaiyat Fatema Tani filed a writ petition with the High Court, which resulted in an order directing the reopening of the showroom. Now, with the final disposal of that rule, the court has issued these nine directives as part of its ruling.
According to the writ petition, on May 14 last year, "Sanviss by Tani" was fined a total of BDT 250,000 for two offenses. The DNCRP’s Dhaka Divisional Office Assistant Director Indrani Roy imposed a BDT 50,000 fine following Lubna Yasmin’s complaint.
