Lux Group spokesman Jonas Hedegaard said this in a statement after the National Consumer Complaints Centre (NCCC) called for an investigation into LuxStyle.
On Thursday, Bernama had quoted NCCC’s Legal and Policy senior manager Shabana Naseer Ahmad as saying that it had received at least 50 complaints against LuxStyle so far and that the number was increasing on a daily basis, especially among young people.
Shabana said the NCCC would send a written report to the domestic trade, cooperatives and consumerism ministry, Malaysian Communications and Multimedia Commission (MCMC) and CyberSecurity Malaysia to conduct further investigations on the matter.
Hedegaard denied Lux Group or any of its stable of companies was involved in anything that could be considered an online scam, pointing to its presence in 140 countries, selling its products on a daily basis.
“LuxStyle had received high scores on Trustpilot.com – a Danish website that publishes reviews of online businesses – and has the ‘highest’ Facebook ad relevance score.
“This wouldn’t be possible if we ran a company based on inertia selling. We value all our consumers and have a high retention rate.
“Any client can return their product and get a full refund up to 90 days after purchase even though they have used the product,” he said.
‘Inertia selling’ refers to the illegal practice of sending unrequested goods to consumers followed by a bill for the price of the goods if they do not return them.
“It is technically impossible to order just by clicking on an ad or banner, and filling in contact details,” Hedegaard said.
NCCC alleged LuxStyle’s modus operandi was to link its online advertisements to product listings without prices. Customers were then required to register with their home and e-mail addresses to find out the prices.
“Lux International Sales ApS advertises its products through social media. The goods are considered ordered if a consumer selects a product and enters their contact information.
“The online retailer has been sending consumers payment notices for products they have never ordered,” Shabana had said in a press conference on Thursday.
She had also advised those who had visited the LuxStyle website and received products as well as invoices, to not send back the package or make any payment.
“If the company has sent you an email, you may in writing, express to the seller that you do not want the products. We are not saying that they’re a scam because products are delivered to consumers but we are questioning their method of selling.”