[Updated] June 21st, 2016

In the latest move, the Ensogo CEO has resigned and they have just announced they are shutting down all operations, and lay off all its staff in all marketplaces in Southeast Asia.

Some of you may have heard of MyDeal.com.my. There’s even one for Singapore — MyDeal.com.sg.

You may recall they use a cartoon-like Aladdin as part of their logo ensemble.

Ensogo — It’s Like Repackaging Stale Wine

What you may not know is, they have since (previously, more than a year back) entered into a merger-like partnership with none other than Ensogo — and that little Aladdin is again up to something … not good.

For businesses selling online, getting on Ensogo’s marketplace is a way to boost their sales. Now some of them fear just the opposite happening as the ecommerce company allegedly withholds their payments.

Merchants Are Not Paid

Woon Kam Loong, a merchant selling electronics and home appliances on Ensogo in Malaysia, submitted RM1,776 (US$452) in payment claims on April 6 for items purchased by Ensogo shoppers, but he hasn’t received a single cent.

“There’s still no news at all,” he told us. “We are unable to contact anyone from the company, nobody is picking up our calls or replying to our emails.”

Calls & Emails Go Unanswered

Kam says he knows at least six other sellers on Ensogo from his country who haven’t been paid.

These merchants claimed that Ensogo has failed to remit customer payments to their bank accounts weeks after the deadline. And the situation is not resolved.

Usually it takes seven to 10 days for the company to handle “fund withdrawal” requests and wire the money, they said.

According to another merchant, Law Wei Hong, in the business of selling sport accessories on Ensogo in Malaysia, he has a pending claim for RM20,950.40 (US$5,334) worth of sales.

This is what he said:

“Since March 31, Ensogo Malaysia has broken its promise to make the payment. On April 6, I was meeting with Ensogo’s head of fashion and the team to discuss Hari Raya promotion. In the morning of April 7, I was informed by the team that Ensogo was going to stop onboarding local sellers and that the team was fired by Ensogo as well. The company fired a lot of staff and it stopped operating its customer service hotline. On Ensogo Malaysia’s Facebook page, I saw some merchants complaining that Ensogo still owes them. A person called “Chong” called me up and he mentioned he would handle my payment. But the payment has been delayed for three weeks now.”

Office in KL Closed

Kam was so desperate to get his earnings that he decided to pay Ensogo’s office in Kuala Lumpur a visit – only to find it closed.

“They never informed sellers and buyers about their closure. We only realized this when we visited their office located in Menara Hapseng 2. We think they’ve closed down because they pasted a notice outside the office saying they actually relocated their operations back to Singapore.”

Both Kam and Law joined Ensogo in March this year.

The Merger that Went Awry from the Get Go

Back in 2015 when MyDeal.com.my was courting controversy with non-delivery of its orders, what eventually came about was the news that Malaysian daily deal site Dealmates.com had merged with three other regional e-commerce players, namely Dealguru, the parent company of daily deal websites Deal.com.sg , MyDEAL.com.my and Hong Kong site Beecrazy, to form iBuy Group Limited.

The merger put all Internet sites under the iBuy group as Ensogo (MyDeal’s new name), but things are not looking any different for disappointed customers.

An Ensogo customer, human relations executive Navinesh Ramakrishnan, said he purchased a North Face Backpack last December but had yet to receive it until today.

“The terms and conditions mentioned that the item would be delivered in 30 days from the date purchased, which was on Dec 4, 2014.

More & More Falling Victims

He said he had brought up the matter to the site and tried calling the customer service line many times.

“I have called almost 10 times, but the operator always says that the agents are busy. I have emailed them 4 times, but there was no reply.”

He said the company even had the audacity to advertise the same item again with a completely new delivery date.

Other complaints are also posted on the Ensogo Facebook page:

Ting Chooi Chin said:

“Why are so many customers not satisfied with your business? Why are orders not being delivered?”
Lily Suriani Maa Takaful commented: “Still have not received my order since 4/12/2014. Please refund me back. Email 3 times already no reply.”

Anis Sahuri said:

“Dear Ensogo. If i do not get any reply from u soon…i will have to lodge a police report. Thank u (sic). I’ve purchased twice on mydeal which now is ensogo and DID NOT RECEIVE it at all. I’ve called and email so many times. No answer and no reply. I WANT MY MONEY BACK!!!”

“Don’t buy from Ensogo Malaysia, they are migrated from MyDeal.com.my and still cheating and scamming consumers about their products advertised at website.

“They want to confuse us thinking that they change to new company and provide better service but in fact they are still the same MyDeal.com.my. Be careful all, this are real stories,” said Mike Kee‎.

Samantha Leow‎ said: “I have purchased this item from living social from October 11th 2014 and yet did not received this item until now. I have called up living social and ensogo for several times and yet there is no one to pick up the phone.

“As described in the voucher, the product will be received within 7 working days after purchase and now it long overdue. I hope you can see this matter urgently”.

John Wong said: “If you ever get swayed by the advertisement and sweet offer by Ensogo, please visit this site before parting with your money.

“Ensogo has conned me of RM149. The phone I paid for on 01/01/2015, and is supposed to be delivered within 7 days, did not arrive, even to this date.

“The phone, 03-26045333, would go to answering machines each time you call and was never picked up. I think I have paid more for the phone calls than the item purchased. I know, I can refer Ensogo to the tribunal at the small claim court, but it is not worth the trouble”.