Ebay was fined 40 million Euros for allowing counterfeit goods to be sold on its auction site.

A French court found in favour of LVMH, a luxury goods group, which alleged that Ebay had allowed users to sell fake merchandise including handbags and perfume, damaging its reputation and sales.

LVMH is the largest luxury-goods holding company, owning brands such as Louis Vuitton, Christian Dior and Givenchy.