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QR fraud exposed

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Tangmarg Carpet Seller Blacklisted for Cheating Tourist

KD NEWS SERVICE

SRINAGAR, July 22: In a decisive crackdown on fraudulent trade practices threatening the legacy of Kashmir’s world-famous handicraft industry, the Directorate of Handicrafts and Handloom, Kashmir, has blacklisted and deregistered The Kashmir Art Bazaar, a craft showroom located in Konchipora, Tangmarg.

The action comes after it was found guilty of selling a machine-made carpet to a tourist for Rs 2.55 lakh, falsely marketing it as a genuine hand-knotted, GI-certified Kashmiri carpet.

According to Order No. 10-HD(QC) of 2025, issued by the Director of Handicrafts and Handloom on July 22, the seller used a fake QR code resembling the official GI label issued by the Indian Institute of Carpet Technology (IICT) to mislead the buyer. “A formal criminal complaint has been ordered, and further legal proceedings have been recommended under the Geographical Indications (GI) Act and the Bharatiya Nyaya Sanhita (BNS),” said a department spokesperson.

A team from the Quality Control wing of the department visited Tangmarg to complete the blacklisting and deregistration process on-site. The move follows a detailed investigation launched after Syed Furqan Alam, a tourist, lodged a complaint with the Director of IICT, Srinagar, alleging fraud by the showroom.

According to the complaint, Alam had paid Rs 25,000 in advance for a carpet, with the full transaction totaling Rs 2.55 lakh. The seller had allegedly provided a certificate and QR code claiming IICT certification. However, when Alam cross-verified the label with IICT, it was found to be forged and not issued by the institute.

Upon this confirmation, the matter was escalated to the Quality Control Division of the Handicrafts and Handloom Department. A physical inspection was carried out, the carpet was seized, and a show-cause notice was issued to the proprietor of The Kashmir Art Bazaar.

In his written reply, the proprietor denied having committed fraud, stating that the buyer cancelled the transaction after learning the carpet was not GI-certified. But this claim was disproved by photographic evidence from the complainant and a technical report from IICT, confirming that the fake QR label had been pasted onto a machine-made carpet in an attempt to pass it off as an authentic Kashmiri product.

The department concluded the reply to be misleading and unsatisfactory, terming the act as a “deliberate attempt to cheat the buyer by exploiting Kashmir’s GI craft identity.”

Citing violations of Sections 6 and 7 of the Jammu and Kashmir Registration of Tourist Trade Act, 1978, the Directorate ordered immediate blacklisting and deregistration of the showroom.

Further, the department directed that a formal complaint be lodged with the Senior Superintendent of Police, Tourism Enforcement, Kashmir, to initiate criminal proceedings. It also urged a broader investigation into what appears to be a larger network involved in pasting fake GI QR labels on machine-made carpets and other craft items.

Significantly, the Directorate’s order noted that the seller attempted to remove the forged QR label upon realizing that the fraud had been detected. However, the evidence gathered and verified by IICT experts confirmed the malpractice beyond doubt.

The department spokesperson strongly condemned the attempt to misrepresent machine-made products as handmade, stressing that such fraudulent practices violate consumer trust and threaten the authenticity and market value of Kashmiri GI-certified crafts, putting the livelihood of thousands of artisans and weavers at risk.

“We warn all stakeholders in the craft sector to refrain from selling machine-made products in the guise of handmade ones. Strict action—including blacklisting and deregistration—will be taken against any violators,” the official said.

The Directorate also urged tourists and buyers to report any suspected cases of misbranding to the Handicrafts and Handloom Department so that appropriate legal and regulatory action can be initiated.

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