Regulator demands defunct Ensogo to settle accounts

Regulator demands defunct Ensogo to settle accounts

Authorities have warned Ensogo to settle its bills involving Thai clients after the demise of Southeast Asia's leading daily deal and flash sales website.

"The company must comply with Thailand's strict consumer protection laws and e-commerce regulations," said Surangkana Wayuparb, chief executive of the Electronic Transactions Development Agency (ETDA), which is under the umbrella of the Information and Communication Technology (ICT) Ministry.

The law related to credit card protection stipulates that consumers can cancel their item/service purchases within 45 days of the purchase date.

Ensogo recently closed its units in Southeast Asia to reduce its cash burn and focus efforts on new investment opportunities.

Ms Surangkana said buying and selling products or services over the internet falls under the E-commerce Act, which means sellers cannot ignore consumer rights on advance payments and cancellation terms.

"I think Ensogo's sudden announcement to close down its business in the region was not good practice and showed a lack of good governance as it gave no time to prevent severe impact on consumers and online merchants in Thailand," she said.

"The move by Ensogo reflects that the company was not concerned about damage to consumers and the public."

Ensogo customers who face difficulties in dealing with refunds for purchased products and services, or those who want to file any complaints, can call the government's hotline on 1212.

Ms Surangkana suggested Ensogo's online merchants launch a legal action against the company soon to force Ensogo to refund the cost of items.

The ETDA plans to hold a meeting with other state agencies and the private sector to discuss the issue.

Ensuring adequate consumer protection rights, building trust in online customers and enhancing fraud and cybercrime measures are three crucial policies to boost the e-commerce market in the digital age, she said.

The government has consolidated its internet-related complaint systems into a one-stop service centre in a collaboration of the ICT Ministry, ETDA, Office of the Consumer Protection Board, Food and Drug Administration, Commerce Ministry and the Technology Crime Suppression Division.

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