Not upheld: withholding of funds / jurisdictional issue complaint against Amazon Payments UK Limited

Decision detail

Summary

Mr B, a sole trader and Amazon seller, complained that APUK had wrongfully withheld his sales proceeds for over two years. APUK clarified that it only provides payment services for Amazon.co.uk and that Mr B's funds from European marketplace sales (Amazon.it, Amazon.fr, Amazon.com.be) were being held by APE, a separate Luxembourg-based entity. The ombudsman found that all evidence confirmed APE, not APUK, was holding the funds and that APUK was not responsible for APE's actions. The complaint was not upheld, and the ombudsman advised Mr B to contact APE or the CSSF directly.

The Ombudsman's reasoning

The ombudsman examined all available evidence from both parties and concluded that the funds were being held by APE, not APUK. Since APUK was not holding the funds and was not responsible for APE's decision to withhold them, it would not be fair to uphold the complaint against APUK or direct APUK to take any action. APE is a Luxembourg-based entity regulated by the CSSF, not the FCA, and therefore falls outside the ombudsman's jurisdiction.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website