Italian Authority Flexes Muscle, Blocks Out E-Retailer’s Website

ROME—For the first time, Italy’s antitrust authority March 19 blocked out an online retailer’s website for alleged anticompetitive abuses.

The action has sparked debate in the sector about whether the powerful agency is overstepping its bounds.

The Autorita Garante della Concorrenza e del Mercato has long held consumer protection responsibilities when questionable conduct is seen to have an impact on competition. The authority’s latest decision against retailer Private Outlet Srl. partially falls into this category.

The retailer sparked complaints from consumers who said the website, which offered low-priced deals on fashion items, often failed to deliver the items purchased or ...