FIR registered against Club Factory and its directors for delivering fake products

Amidst regular complaints over selling counterfeit products on its platform, another serious allegation has come to notice against e-commerce marketplace Club Factory.

According to a media report, Bengaluru police has registered a case of cheating and criminal breach of trust against Future India Private Limited, Jialun Li and Garvit Aggarwal. While Future India Private Limited is Club Factory's Indian entity, Li and Aggarwal are directors of the Chinese e-commerce company.

The local police have registered an FIR against all three after a complaint filed by a consumer who had ordered a pair of Nike shoes, Oakley sunglasses and hair oil from the Chinese e-commerce platform on January 15.

The items ordered by the plaintiff were found to be fake, which he confirmed through a Nike outlet in Basaveshwaranagar. In the preliminary investigation, police also sent all three products to their respective authorised outlets and learnt that all items were fake.

Entrackr has also viewed the FIR report registered on February 3.

The investigating team has spoken to the respective brand teams of the three products to file separate cases under sections of the Copyright Act. The police highlighted the fact that Club Factory receives 1.5 lakh to 2 lakh orders per day and there is a possibility of selling several counterfeit products via the online portal.

Three months ago, Entrackr had also done an investigative report on the listing of several counterfeit products on the Club Factory portal. 

Apart from selling fake products across categories such as cosmetics, watches, perfumes and footwear, the platform had also been labelling them as “CF Verified” to garner the trust of consumers.

Earlier this week, Club Factory and one of its employees were restrained by the Gurugram court from sharing, divulging and using its rival Snapdeal’s trade secrets, financial data and confidential information.