NEW DELHI (Reuters) -India proposed banning flash sales on e-commerce websites and said on Monday their affiliate entities should not be listed as sellers on their platforms, in a proposed tightening of rules that could hit Amazon and Walmart's Flipkart.

The Ministry of Consumer Affairs' rules, which were released in a government statement, come amid complaints by brick-and-mortar retailers that foreign e-commerce players bypass Indian laws by using complex business structures.

Walmart Inc's Flipkart and Amazon.com Inc have filed legal challenges against the resumption of an antitrust investigation into their business practices, according to sources and a legal filing viewed by Reuters.

The Competition Commission of India (CCI) launched an investigation in January last year after a complaint accused Flipkart and Amazon of promoting select sellers on their e-commerce platforms and using deep discounts to stifle competition.

Amazon, which has been under pressure from shoppers, brands and lawmakers to crack down on counterfeits on its site, said Monday that it blocked more than 10 billion suspected phony listings last year before any of their offerings could be sold.

The numbers were released in Amazon's first report on its anti-counterfeiting efforts since it announced new tools and technologies in 2019. The number of blocked phony listings last year was up about 67 per cent from the year before.

Amazon.com Inc. is pausing plans for its annual sale Prime Day in Canada and India due to concerns about Covid-19, the company confirmed on Thursday. The pause won’t affect Prime Day in the U.S., which is scheduled for an undisclosed day in June, according to an email reviewed by Bloomberg.

Based on the increasing impact of Covid-19 in Canada, and the importance we place on protecting the health and safety of our employees and customers, we will pause plans for Prime Day 2021 in Canada, said the email, sent to Amazon sellers Thursday.

The Supreme Court has deferred to June 28 hearing the dispute between Amazon and Future dispute as it attends to cases related to Covid-19 pandemic, Mint reported on Wednesday.

The Supreme Court feels this case be kept on hold until the surge in covid-19 cases is contained. Cases related to oxygen supply to hospitals, provision of covid beds, vaccines and medicines are more urgent, Mint quoted a person close to the matter.

A day after lenders to Future Retail approved a debt recast plan extending repayment of its loans by up to two years, the Supreme Court (SC) on Monday stayed all proceedings pending before the Delhi High Court (HC) in the Amazon versus Future case.

The matter will be next heard on May 4 in the SC, by when the two sides have been asked to complete their pleadings.

Amazon Pay, the digital payments of the e-commerce giant Amazon.com, said it has empowered over 5 million neighbourhood stores and businesses with its digital payments infrastructure. These SMBs (small and medium businesses), most of whom earlier transacted only in cash, can now accept payments from their customers using Amazon Pay’s QR (quick response) code.

E-commerce giant Amazon has expanded its food delivery service Amazon Food across Bengaluru. The move increases its direct competition with established local players including Tencent-backed Swiggy and Alibaba-backed Zomato.

Amazon Food is now available across 62 pin-codes covering key localities like Whitefield, HSR, Sarjapur, Koramangala, Indiranagar and MG Road. The other such areas include Jayanagar, JP Nagar, Frazer Town, Malleshwaram, Rajajinagar and Vijayanagar.

Future Group has alleged that Amazon had asked for USD 40 million (around Rs 290.41 crore) in compensation for the deal with Reliance Industries, a charge that the e-commerce major termed as "false and misleading claims".

According to documents submitted to the emergency arbitrator of SIAC by the Kishore Biyani-led firm, Amazon had asked for USD 40 million in compensation from Future Group for the deal with Reliance Industries, and that the US-based company was well aware of the Rs 24,713 crore Future-RIL deal.

Amazon.com Inc has mounted a legal challenge against its partner Future Group's $3.4 billion retail assets sale in India's Supreme Court, three sources told Reuters on Thursday, marking the US firm's latest effort to block the deal.

Amazon, locked in legal disputes with Future, alleges the Indian firm violated contracts by agreeing to sell its retail assets to Reliance Industries last year. Future denies any wrongdoing.

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