Surge in Fake Damage Claims Poses Challenges for Chinese Sellers

Surge in Fake Damage Claims Poses Challenges for Chinese Sellers

A troubling trend has emerged among Chinese online sellers, with a growing number of buyers resorting to artificial intelligence to create counterfeit images of product defects after their purchases. These deceitful tactics include adding mold to fruits, simulating cracks in dishes, and fabricating holes in clothing to justify refund requests.

In one notable incident, crab farmer Gao Jing was taken aback when a customer sent him photos and a video purporting to show deceased crabs. Upon closer examination, the images raised suspicions; the crabs appeared in unnatural positions, and one had an astonishing nine legs. Authorities later confirmed that the images were fabricated, leading to the buyer's detention.

With low-cost items, sellers often confront a difficult choice: it can be more economical to process a refund than to contest a fraudulent claim. Consequently, many opt to vent their frustrations on social media rather than engage in disputes.

According to the fraud-detection firm Forter, the submission of altered images with refund requests has surged by over 15% globally since the beginning of the year. This alarming increase may prompt online marketplaces to revise their return policies in an effort to reduce financial losses. As a result, both honest customers and sellers could find themselves facing higher expenses and more stringent regulations.

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