CCPA imposes ₹10 lakh fine on Xboom for ads of anti-drone systems without licence disclosures

The Central Consumer Protection Authority (CCPA) has imposed a penalty of ₹10 lakh on Xboom Utilities and directed it to stop advertising or offering anti-drone systems and drone jammers unless mandatory regulatory approvals and licensing requirements are prominently disclosed..The order was passed on September 17 by Chief Commissioner Nidhi Khare and Commissioner Anupam Mishra in suo motu proceedings initiated against Indian robotics and drone brand, Xboom over advertisements for anti-drone systems, drone jammers and GPS jammers..The CCPA found that Xboom's listings omitted information concerning mandatory licensing requirements while marketing equipment capable of interfering with or neutralising drone communications.“Xboom is in violation of Sections 2(9), 2(28) and 2(47) of the Consumer Protection Act, 2019, in respect of its listing/hosting of the six Restricted Products ... without disclosure of the applicable licensing/regulatory restrictions," the CCPA said. The six products identified by the authority included X-Mini, X-Radar XK2, X-Eye, X-Gun XK4, RF-Patrol XK2 and XGuard.The CCPA noted that jammers and similar equipment are subject to various statutory restrictions and licensing regimes. It said equipment capable of interfering with licensed communications cannot be freely sold or used merely as an ordinary commercial product..The proceedings began after the regulator found the products listed on Xboom's website without disclosures regarding licences, regulatory permissions or restrictions on their purchase and use. A show-cause notice was subsequently issued in February 2026.Xboom argued that its website operated on an enquiry-based model rather than as an open retail platform. It said the listings were intended for institutional customers such as government agencies, armed forces and authorised defence establishments and that it had suspended the impugned listings after receiving the notice.The CCPA, however, rejected the argument that an enquiry-based model took the listings outside the definition of an advertisement. It observed that the products were publicly represented through the website in a manner capable of attracting potential customers..It also found that Xboom continued to list several categories of drones and related products without adequate disclosure of licences, certifications, approvals or other regulatory requirements.During the proceedings, Xboom relied on a memorandum of understanding with a third-party vendor, Manish Kumar, to contend that the vendor would procure and supply the products to authorised government agencies. The Authority was not satisfied that the arrangement established regulatory compliance and noted deficiencies in the documentation produced.The CCPA ultimately imposed a ₹10 lakh penalty under Section 21 of the Consumer Protection Act..It further directed Xboom not to list, host, advertise, promote or otherwise offer anti-drone systems, drone jammers or similar equipment unless it prominently displays the applicable statutory approvals and licences and limits access, where required, to authorised government, defence or law-enforcement users.The company has also been directed to file a compliance report within 15 days..Xboom Utilities was represented by advocates Amrita Sharma and Mahima Sadawat..[Read Order]