Thursday, 01 June 2023 04:11 GMT

Amazon Consultant Admits to Bribing Employees for Insider Information


(MENAFN) Ephraim "Ed" Rosenberg, an influential consultant for Amazon sellers, has admitted to bribing employees of the e-commerce giant for information to help his clients boost sales and to get their suspended accounts reinstated. Rosenberg, who runs a consultancy business that advises entrepreneurs on how to sell products on the online marketplace, wrote in a LinkedIn post that he will plead guilty in federal court to a criminal charge, stemming from a 2020 indictment that charged six people with conspiring to give sellers an unfair competitive advantage on Amazon's third-party marketplace.

Rosenberg, who is based in Brooklyn, is a well-known figure in the world of Amazon third-party sellers. His Facebook group for sellers, ASGTG, has over 68,000 members, and he hosts a popular conference for sellers each year. However, his involvement in the bribery scheme has tarnished his reputation and raised questions about the integrity of Amazon's third-party marketplace.

According to Rosenberg's LinkedIn post, he began to obtain and use Amazon's internal annotations – Amazon's private property – to learn the reasons for sellers' suspensions, in order to assist them in getting reinstated, if possible. On some occasions, he paid bribes, directly and indirectly, to Amazon employees to obtain annotations and reinstate suspended accounts. These actions were against the law.

Rosenberg's admission of guilt is the latest development in a case that has exposed the dark side of Amazon's third-party marketplace. The marketplace, which accounts for over half of Amazon's sales, has been plagued by counterfeit products, fake reviews, and other forms of fraud. Amazon has taken steps to crack down on these issues, but the problem persists.

In conclusion, Ephraim Rosenberg's admission of guilt in a bribery scheme to obtain insider information from Amazon employees has raised concerns about the integrity of Amazon's third-party marketplace. The case highlights the need for stronger safeguards to prevent fraud and abuse on the platform, and for greater transparency and accountability from Amazon and its third-party sellers. As the e-commerce giant continues to grow and dominate the retail landscape, it must ensure that its marketplace is fair, trustworthy, and free from corruption.

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