CCPA Fines E-Commerce Platform ₹1 Lakh Over Misleading ‘Ram Mandir Ayodhya Prasad’ Claims

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The Central Consumer Protection Authority (CCPA) has imposed a ₹1 lakh penalty on an e-commerce platform for allowing the sale of ordinary sweets under the misleading description “Shri Ram Mandir Ayodhya Prasad.”

The authority found that the product listings could mislead consumers into believing that the sweets were authorised prasad associated with the Shri Ram Janmabhoomi Mandir in Ayodhya.

CCPA Finds Religious Representation Misleading

The matter arose from a representation submitted by the Confederation of All India Traders, alleging that an e-commerce platform was facilitating the sale of commercially manufactured sweets using the description “Shri Ram Mandir Ayodhya Prasad.”

According to the CCPA’s August 4 order, the products were sold through the platform without authorisation or endorsement from the Shri Ram Janmabhoomi Teerth Kshetra Trust.

The authority noted that the phrase “Shri Ram Mandir Ayodhya Prasad” carries a specific meaning for devotees, referring to sacred food offered to and blessed by the deity at the temple.

It therefore held that using the description for ordinary confectionery products without proper authorisation could amount to a misleading trade practice under consumer protection law.

Sweets Generated Over ₹25 Lakh in Sales

The CCPA noted that the seller had generated more than ₹25 lakh in gross sales from the products marketed using the disputed description, while the e-commerce platform also benefited from their sale.

The products included:

  • Raghupati Ghee Ladoo
  • Khoya Ladoo
  • Ghee Bundi Ladoo
  • Desi Cow Milk Peda

The products were listed under the “Grocery & Gourmet Foods” category and were available for nationwide delivery.

The authority also noted that the listings used religious imagery and references to Lord Ram and Ayodhya. The ingredient description for the products reportedly referred to the contents as “Ram Mandir Prasad.”

CCPA Raises Concern Over Timing

The authority also considered the timing of the listings significant.

The products claiming to be “Shri Ram Mandir Ayodhya Prasad” were listed before the Pran Pratishtha ceremony of the Shri Ram Mandir in Ayodhya on January 22, 2024.

The CCPA observed that the religious significance and public attention surrounding the temple meant that the platform could not simply rely on its automated monitoring and seller-compliance systems to claim ignorance of the issue.

The authority further noted that the platform’s large user base and market reach could amplify the impact of misleading product listings.

Platform Directed to Verify Religious Authorisation

The CCPA directed the e-commerce platform to ensure that products described as prasad, prasadam, mahaprasad, bhog or similar religious offerings associated with religious institutions are not listed or advertised without verifiable documentary proof of authorisation from the concerned institution.

The platform was also directed to prominently display complete seller information, including:

  • Seller’s name
  • Address
  • Customer care details
  • Grievance officer information

The CCPA imposed a ₹1 lakh penalty on the e-commerce platform for the publication of misleading advertisements on its website.

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E-Commerce Platform Says It Was Only a Marketplace

The platform defended itself by submitting that it functioned only as a marketplace intermediary and was not involved in listing, pricing, describing, packaging or selling the products.

It also stated that after receiving the show-cause notice, it acted promptly and removed the disputed products.

The platform further submitted that its sellers were contractually required to comply with applicable laws and denied any intention to participate in an unfair trade practice.

The CCPA, however, noted the platform’s later cooperation and willingness to establish a structured compliance framework, while holding that such cooperation did not eliminate the seriousness of the conduct.

CCPA Seeks Stronger Compliance

The order highlights the responsibility of large online marketplaces to prevent misleading representations, particularly where product descriptions invoke religious institutions or religious offerings.

The CCPA’s directions require the platform to establish safeguards so that sellers cannot market ordinary products as authorised religious offerings without supporting documentation.

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