M/s Shenzhen Changfang Semiconductor Light Corp. Ltd.
Queja 333110 Detalles

We, Olive Exports Private Limited having our Regd. & Head Office at 3870A/10, Kanhaiya Nagar, Delhi-110035, India, have been regular customers of M/s Shenzhen Changfang Semiconductor Light Corp. Ltd., having their Office at Julong Mountain 3rd Road, Big Indust. Zone, Pingshan New District, Shenzhen, Guangdong, China, since last five years. The services provided by M/s Shenzhen Changfang Semiconductor Light Corp. Ltd. in the above period were about satisfactory.
However, in our previous transaction with M/s Shenzhen Changfang Semiconductor Light Corp. Ltd., we have been grossly duped and inspite of our numerous complaints there is absolutely no concern being shown towards us by M/s Shenzhen Changfang Semiconductor Light Corp. Ltd.
Details of transaction are as follows:-
1. We had placed an order of 5100 Nos (Five Thousand and One Hundred Nos) of 18W LED Tube lights with M/s Shenzhen Changfang Semiconductor Light Corp. Ltd.
2. The above items were dispatched by M/s Shenzhen Changfang Semiconductor Light Corp. Ltd. on 7th March, 2013 by waterway.
3. As our requirement for LED Tube Lights was very urgent, we placed an additional order for 200 nos, 18W LED based Tube light with M/s Shenzhen Changfang Semiconductor Light Corp. Ltd. to be sent to us by Air route.
4. The above items were sent by M/s Shenzhen Changfang Semiconductor Light Corp. Ltd. on 26th March, 2013.
5. On receipt of the material, we forwarded the same in smaller consignments to our many clients located across India.
6. But to our dismay, very soon our clients started complaining that the LED Tube lights supplied by us were defective and started returning the same back to us with the allegation that we had intentionally supplied defective materials to them.
7. On raising this issue with M/s Shenzhen Changfang Semiconductor Light Corp. Ltd., they asked us to send the defective Tube lights to their premises in China for Technical evaluation of the complaint.
8. Following Technical Evaluation, the concerned authorities readily accepted and communicated back to us that the concerned Lot of Tube Lights was actually defective. Copies of e-mails and other communication in this regard are attached herewith for your kind perusal and judgement.
9. We were also assured that we will be suitably compensated for the defective Lot of LED tube lights.
10. In the negotiations that followed, M/s Shenzhen Changfang Semiconductor Light Corp. Ltd. assured that they would compensate for this loss in kind, by way of fresh purchase package --
a) That, we place another fresh purchase order for 1000 nos tube lights and they would offer an equal 1000 nos as free compensation. And this was to be repeated for 5 times. This meant an unnecessary purchase of 5000 nos tube lights in order to compensate the defective 5000 nos tube lights and in the process accumulating huge & unnecessary stock at our end. This offer was not acceptable to us and hence very respectfully declined the same.
b) Next, they offered to us, that we place a fresh purchase order for 1000 (One Thousand) nos tube lights and they would offer 2000 (Two thousand) nos as free compensation. Inspite of the possibility of stock accumulation at our end, but having no choice, we had to accept this offer from M/s Shenzhen Changfang Semiconductor Light Corp. Ltd.
c) Thereafter we were directly asked to make the payment for the 1000 nos tube lights at the original agreed rate.
d) Before making the payment, we requested for the proforma invoice with all details regarding the offer for compensation.
e) Suddenly at this stage M/s Shenzhen Changfang Semiconductor Light Corp. Ltd. decided to back-out from their made offer and bluntly refused to provide any kind of compensation package to us at all.
f) All our appeals for compensation have fallen on deaf ears, thereafter.
The above episode has left us with -
a) Plenty of mental harassment and irritation for Chinese manufacturers.
b) Huge investment loss.
c) Indirect Financial loss in the form of Profit that we would have otherwise earned, keeping in mind the comparatively higher prices of LED Tube lights in India at that point of time.
d) Direct loss of market good-will and precious Clients.
e) Accumulation of Electrical Scrap in our warehouse.
This clearly stands to be a matter of Breach of Business Trust on part of M/s Shenzhen Changfang Semiconductor Light Corp. Ltd.
Organizations like M/s Shenzhen Changfang Semiconductor Light Corp. Ltd. need to be taught a lesson in business ethics and hence need to be properly penalized for their Business misconduct.
We urge the business community particularly importers of LED based lighting solutions around the world to beware and deal with M/s Shenzhen Changfang Semiconductor Light Corp. Ltd cautiously.
Olive Exports Private Limited