Anger as two online shopping agents close with $3m outstanding

Two online shopping agents have left a large number of consumers and suppliers outraged following their unwarned disappearance, casting doubt over HK$3 million worth of goods and advance payment.

Rabbit N Radis, one of the agents and specialized in selling baby products, stopped communicating with customers in mid-February. Its customers have since taken to social media platforms like Facebook to form a victims group now including more than 700 members.

They said the company has stopped delivering goods since February and their attempts to reach it by email, WhatsApp and other social media accounts were all unanswered.

A man, who had been a patron for years, expressed dismay that he was deceived. "I have been buying goods from the store for many years and I cannot imagine that I would be cheated." The last delivery he got was in January.

A supplier estimated the total amount owed to all suppliers and customers at HK$3 million. This supplier said it alone was owed HK$500,000. The company's office in Kwai Chung and shops in Mong Kok and Causeway Bay were all closed.

In another incident, online purchasing agent Choco Cloud Kids has also shut down with no prior warning.

Specializing in reselling baby necessities, Choco had been operating since 2013 and provided pick-up points in Kwun Tong Lai Chi Kok. On Saturday, the company announced on its website that it had closed business and all staff were laid off, which surprised customers for many were still awaiting delivery of their orders.

Choco said the decision to cease the business was made due to the owner's poor health, dismissing online speculation that the owner had gone to the UK with the money.

The Consumer Council, which is currently handling complaints against the two companies, said it has so far received 19 complaints related to Rabbit N Radish and involving a total of HK$15,000, the highest individual claim being HK$2,838.

The council added that in respect of Choco, 26 complaints involving HK$23,000 have been received, the highest claim being HK$4,784.

The council said affected customers may register as creditors to recover their money, but added that refund or compensation would be contingent on the companies repaying their debts to others higher in priority.

It suggested those paying by credit card to apply to their credit card issuers for refund as soon as possible.

TheCustoms and Excise Department said it has received reports in relation to the two companies and investigating is underway.