The Big Billion Day controversy keeps getting bigger, after the consumers and the tech moguls it is now Government’s turn to flip the kart. The Government is looking into the matter to determine if clarity is required on the e-commerce retail business.

Big discounts were promised to the customers on day of the sale, October 6. However, marking up of prices, scarcity of stock, website outages and order cancellations was witnessed at the sale extravaganza. This enraged consumers, retailers and consumer goods makers. Concerns such as the event would impact the traditional market and the reputation of brands were raised.

Commerce and Industry Minister and also the Minister of State for Finance and Corporate Affairs, Nirmala Sitharaman said, “We have received many inputs regarding Flipkart episode. Lot of concern have been expressed and we will look into it.” Further, she added that the government will look into the matter to consider amendment of any particular policy for e-commerce sales.

Formerly, traders body Confederation of All India Traders(CAIT) appealed to the Government body for monitoring and regulating the online business. The CAIT also requested to delve into the business model of e-commerce corporations and understand how they are providing hefty discounts during the ongoing festive season.

Flipkart is also being scrutinized for alleged violations under the Foreign Exchange Management Act by the Enforcement Directorate. The authority is looking to verify if the e-retailer had exercised a B2C e-commerce model when it received a Foreign Direct Investment(FDI) worth$180 million in 2012. If the encountered evidence indicates the use of a B2C model, Flipkart may face a penalty of up to three times the amount it received in FDI. It had made a shift to marketplace model in February last year that allows third party vendors to sell products via e-commerce retail site.