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7 Platforms Fined Nearly 3.6 Billion Yuan for Involvement in 'Ghost Food Delivery': PDD 1.522 Billion, MEITUAN 746 Million, Alibaba Group 630 Million
On April 17, the State Administration for Market Regulation imposed administrative penalties on seven e-commerce platforms — PDD, MEITUAN, JD-SW, Taobao Flash Shopping, Douyin, Taobao, and Tmall — due to lax review of food operator qualifications and failure to prevent order transfer activities. The platforms were ordered to suspend adding new cake shops for 3 to 9 months, with total fines and confiscations amounting to 3.597 billion yuan. The legal representatives and food safety directors of the seven platforms were fined a combined 19.6874 million yuan. All platforms have since removed relevant 'ghost stores' and terminated order transfer partnerships
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