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Can e-portal be made to pay for probe: HC to Haryana Home Secretary, DGP

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Saurabh Malik

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Tribune News Service

Chandigarh, December 14

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In an order liable to change the way e-commerce websites connecting buyers and sellers function, the Punjab and Haryana High Court has ordered the state Home Secretary and the DGP to elaborate on the feasibility of bringing in guidelines to prevent fraud by the advertisers using online platforms.

DIRECTIONS ISSUED

  • All ads on the OLX platform to be deleted; and ads to be relisted only with two ID proofs of potential seller
  • Ads to also carry two mobile numbers with a screenshot/message by service provider who issued the SIM
  • Details of moveable/immoveable property, such as registration certificate, insurance paper or sale deed, to be uploaded
  • Panchayat member/councillor to certify credentials of proposed seller in case he is residing in 5 vulnerable districts

The duo has been asked to explain whether such websites, including OLX, should be made to pay for the investigations in cases of fraud.

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Justice Arvind Singh Sangwan also directed the duo to explore whether OLX and similar service providers could be directed to accept money from purchasers at least 24 to 48 hours before the deal to avoid fraud and refund the amount in the next 24 to 48 hours in case of its failure to finalise.

The directions came after Justice Sangwan took cognisance of “hundreds of FIRs” registered against persons using OLX platform for cheating innocents during the recent years in Gurugram, Faridabad, Rewari, Palwal and Mewat districts.

Justice Sangwan observed the accused committed cheating and forgery after luring innocents by issuing ads on OLX regarding the sale of gold in different forms, vehicles such as bike or car at cheaper price, or for professional service like architect or accountant.

Justice Sangwan further observed the accused, locally called ‘Titloo Gang’, called up the potential buyers to their native village or nearby place after they responded to an OLX advertisement. They then played fraud and duped the victim by taking away money under threat. “In the process, some of the persons have lost lakhs of rupees. In many cases, victims are from different states, who are allured to buy gold at lower price and then given fake gold by taking huge money.”

He asserted it was a matter of fact that huge financial burden was put on the state exchequer when the FIRs were registered as the police was put under “heavy pressure” to probe the matters. The OLX and similar groups, on the other hand, were not performing reciprocal duty towards the country and were only interested in earning profits by putting up the ads without giving the details or verifying the antecedents of the advertisers.

“For a big company like the OLX, earning huge profits from ad, (can) a reciprocal duty be imposed to bear the cost of probe when a fraud is committed using their app or website and whether a cost of Rs 25,000 per FIR be deposited,” Justice Sangwan directed the Home Secretary and the DGP to elaborate. They were also asked to explain the extent of liability that could be fixed on the owner or the person responsible for day-to-day business of such apps in case the guidelines were flouted.

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