Alibaba Group Holding Ltd. and its U.S.-based payment processor agreed to pay a combined $600 million to resolve Department of Justice (DOJ) allegations that merchants used Alibaba’s online platforms to sell and import illegal pharmaceuticals, controlled substances, listed chemicals, and pill-press equipment into the United States over nearly a decade.
The DOJ announced the resolution on July 1 under separate nonprosecution agreements with Alibaba and AUS Merchant Services, formerly known as Alipay US. The agreements do not amount to guilty pleas or criminal convictions.
Alibaba admitted that from January 2016 through December 2024, merchants using Alibaba.com and AliExpress carried out about 80,000 product sales involving imports that lacked required U.S. approvals or violated federal drug, device, and import laws. The transactions had a combined gross merchandise value of more than $200 million, according to the DOJ….Â
Alibaba, Payment Processor to Pay $600 Million Over Illegal Sales on Its Platforms
