Myntra, a Flipkart-owned fashion e-commerce platform, has suffered financial losses exceeding ₹50 crore due to a sophisticated refund scam. Fraudsters exploited the company’s customer-centric refund policy, as revealed during a recent audit.
The scam involved placing bulk orders for high-value items like branded shoes and accessories, then lodging false complaints about non-delivery or shortages. Refunds were claimed through Myntra’s app, designed to address genuine customer grievances like incorrect items or mismatches.
A significant portion of these fraudulent claims originated from Jaipur, Rajasthan, with orders often delivered to commercial addresses in Bengaluru and other metros. Police investigations revealed that the scam was orchestrated by organized gangs, causing widespread monetary damage.
In Bengaluru alone, 5,529 fraudulent orders were detected. The case, registered under the IT Act and IPC Sections 419 and 420, highlights vulnerabilities in e-commerce operations, urging platforms to tighten their fraud detection mechanisms.
