--- title: "Alibaba and its US payment processor will pay 600 million dollars to settle a DOJ probe into illegal drug sales" url: https://daily.dev/posts/alibaba-and-its-us-payment-processor-will-pay-600-million-dollars-to-settle-a-doj-probe-into-illegal-h1r7mfwwk source_url: https://thenextweb.com/news/alibaba-600-million-doj-settlement-illegal-pharmaceuticals type: article source: "The Next Web" published: 2026-07-01T22:32:47.348Z updated: 2026-07-01T22:33:20.129Z tags: ["ecommerce", "alibaba", "regulatory-compliance"] reading_time: 3 upvotes: 0 comments: 0 language: en --- > ## Documentation Index > Fetch the complete documentation index at: https://daily.dev/llms.txt > Use this file to discover all available pages before exploring further. # Alibaba and its US payment processor will pay 600 million dollars to settle a DOJ probe into illegal drug sales **[The Next Web](https://daily.dev/sources/tnw)** · 3 min read · 0 upvotes · 0 comments ## Summary Alibaba and its US payment processor AUS Merchant Services (an Ant International unit operating Alipay) have agreed to pay $600 million to settle a DOJ investigation into illegal pharmaceutical sales on Alibaba's platform. Between 2016 and 2024, roughly 80,000 purchases of unapproved drugs, regulated chemicals, and drug counterfeiting equipment worth over $200 million were made by overseas customers. Alibaba admitted its compliance controls failed to stop third-party sellers from circumventing filters, and internal employees had flagged the issues. The settlement is one of the largest the DOJ has secured against a Chinese tech company for platform compliance failures, and comes amid other US regulatory and legal pressures on Alibaba, including accusations of AI model distillation and a Pentagon military-company designation. ## Full article daily.dev links to this article rather than hosting it. Read it at the original source: ## Similar posts on daily.dev - [AliExpress fine: EU issues record €550M DSA penalty](https://daily.dev/posts/aliexpress-fine-eu-issues-record-550m-dsa-penalty-yanr4fwp2) · The Next Web · 0 upvotes · 0 comments - [Bosch to pay US $36m over unlicensed shipments to Huawei](https://daily.dev/posts/bosch-to-pay-us-36m-over-unlicensed-shipments-to-huawei-rscddh6qu) · The Next Web · 0 upvotes · 0 comments - [Alibaba sues the Pentagon to get off its Chinese military companies list](https://daily.dev/posts/alibaba-sues-the-pentagon-to-get-off-its-chinese-military-companies-list-rrmjfvkjh) · The Next Web · 0 upvotes · 0 comments --- Tags: [#ecommerce](https://daily.dev/tags/ecommerce), [#alibaba](https://daily.dev/tags/alibaba), [#regulatory-compliance](https://daily.dev/tags/regulatory-compliance) [View this post on daily.dev](https://daily.dev/posts/alibaba-and-its-us-payment-processor-will-pay-600-million-dollars-to-settle-a-doj-probe-into-illegal-h1r7mfwwk)