Shein Slapped with 40 Million Euro Fine for Misleading Practices
France's antitrust agency fined Shein 40 million euros for deceptive practices, including misleading discounts and vague environmental claims. The company resolved these issues over a year ago. Shein's sales handler, Infinite Style E-Commerce Co Ltd, accepted the fine and took corrective actions promptly in response to the investigation.
In a significant regulatory decision, France's antitrust agency has imposed a hefty fine of 40 million euros on fast-fashion giant Shein. This penalty comes after a comprehensive investigation into alleged deceptive business practices concerning misleading discounts and ambiguous claims about the company's environmental impact.
The probe revealed that Infinite Style E-Commerce Co Ltd, responsible for Shein's sales, had misled consumers with its discount policies. The company accepted the fine, acknowledging awareness of these issues since March of the previous year and reportedly took corrective measures within the subsequent two months.
Shein, originally founded in China, stated that all raised concerns were addressed over a year ago, reaffirming its commitment to legal and regulatory compliance in the French market. This development marks a critical moment in the fashion industry's regulation landscape.
(With inputs from agencies.)
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