Red Star Capital Bureau reported on August 2 that luxury brand PRADA recently applied to freeze more than 11 million yuan and corresponding value properties under the name of luxury e-commerce SECOF.US, for a period of one year.

The application was ruled by the Shanghai Jiading District People's Court to be in compliance with the regulations, and the implementation began immediately.

　　Contractual disputes with multiple partners

　　The Tianyancha APP shows that the ruling originated from the property preservation documents in the relevant arbitration proceedings between Prada Fashion Business (Shanghai) Co., Ltd. and Shanghai Secoo E-Commerce Co., Ltd. The applicant Prada Fashion Business (Shanghai) Co., Ltd. is PRADA ASIA PACIFIC LIMITED ( A wholly-owned subsidiary of Prada Asia Pacific).

　　In addition to PRADA, Secoo also has contract disputes with a number of suppliers or partners.

　　The Tianyancha APP shows that since 2022, Beijing Secoo Trading Co., Ltd. and its subsidiary Shanghai Secoo E-Commerce Co., Ltd. have been involved in many sales contract disputes and loan contract disputes as defendants. The plaintiff companies include Shenyang Commercial City Department Store Co., Ltd., Shanghai Dragon Dream Department Store Co., Ltd., etc.

　　Pan Helin, co-director and researcher of the Digital Economy and Financial Innovation Research Center of Zhejiang University International Business School, analyzed that the problem of Secoo is related to its operation. It is positioned as a luxury product and has many restrictions on its own categories.

Therefore, the products are not rich enough, and there is a lack of traffic support.

At the same time, there are more and more channels for consumers to buy luxury goods.

In terms of price comparison, imported luxury goods from duty-free shops are more cost-effective, while many overseas luxury brands have encountered Waterloo in China, and Kusi has not paid enough attention to Guochao products.

Second, Secoo is also affected by the epidemic, and the international supply chain of many categories of goods is not smooth.

　　Encountered a series of consumer complaints

　　The Red Star Capital Bureau noticed that Secoo has also been complained by consumers one after another.

Search "Secoo" on the black cat complaint platform, and there are 17,210 related complaints.

Most of the complaints since July this year have involved issues such as the Secoo platform’s non-delivery and no refunds, and no response to applications for refunds.

Among these consumer complaints, Secoo's feedback included "system upgrade", "refund review" and other reasons. One of the consumers involved in the amount of 18,270 yuan said that it had been 9 months since the order was placed, and Secoo did not deliver the goods and would not refund it. payment.

　　Regarding consumer rights protection, lawyer You Yunting of Shanghai Dabang Law Firm said that judging from the large number of complaints that Secoo has received recently, it is necessary to consider whether Secoo has the ability to repay.

For consumers in specific cases, the best way to protect their rights is to sue. Secoo does not completely stop operations, and subsequent courts can enforce it.

If consumers consider the cost of litigation and rights protection, they can choose to sue in the Internet Court.

In addition, you can also try to complain to the market supervision department and the Consumer Protection Committee, and try to protect your rights through relevant departments and consumer protection organizations.

　　Delisting risk in U.S. stocks

　　In the capital market, Secoo is also not very smooth.

　　On September 22, 2017, Secoo was listed on the Nasdaq in the United States with the title of "China's No. 1 Luxury E-commerce Share", with an issue price of $13 per share.

One year after its listing, Secoo’s share price continued to fall. As of August 1, the closing price was $0.26 per share, a 98% drop from the issue price.

　　In December 2021, Secoo announced that the company received a delisting warning from Nasdaq due to the closing price of the stock below $1 for 30 consecutive working days.

Under Nasdaq listing rules, the applicable grace period for reinstatement of compliance is 180 days until June 15, 2022, and the closing price of shares of companies receiving delisting warnings must be equal to or greater than $1.00 per share.

　　Since receiving the delisting warning, Secoo's share price has not exceeded $1, and the trend has continued to decline.

In this regard, in June 2022, Secoo applied to transfer its American Depositary Receipts (ADS) from the Nasdaq Global Market to the Nasdaq Capital Market.

The so-called Nasdaq capital market is a market provided by Nasdaq for companies in the growth stage. The financial indicators are not as strict as the global market standards.

　　It is worth noting that in 2021 and 2022, the submission of Secoo's annual report information will be delayed.

In the annual report that was not submitted on time, the company's revenue and profit fell.

According to the 2021 financial report, Secoo's annual revenue was 3.13 billion yuan, a year-on-year decrease of 48%; a net loss of 566 million yuan, a year-on-year increase of 547%.

　　Chengdu Business Daily-Red Star News reporter Yu Yao

　　Intern reporter Cheng Luyang

　　Comprehensive First Financial