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In its race to rival Amazon and become the next great “everything store,” Walmart leveraged its brick-and-mortar empire to grow into a major player online. And it didn’t take long for the world’s biggest retailer to build a massive digital marketplace with hundreds of millions of products and thousands of third-party sellers. But Walmart’s digital boom has a little known and much darker underside – where some sellers steal the identities of legitimate businesses so they can peddle counterfeit and sometimes dangerous products to unsuspecting customers. After CNBC shared its reporting with Walmart, the company began tightening its vetting process for both products and sellers and says it has a “zero-tolerance policy for prohibited or noncompliant products.” CNBC’s Gabrielle Fonrouge has the story. Correspondent: Gabrielle Fonrouge Investigative Producer: Paige Tortorelli Senior Investigative Producer: Scott Zamost Senior Executive Producer: Ray Parisi Editors: Candice Goldman, Richard Korn Graphic Artist: Leslie Lillo Deputy Business Editor: Jacob Pramuk Senior Business Editor: Sara Salinas Managing Editor: Jeff McCracken Photojournalists: Van Applegate, Mark Aster, Alex Bedoya, David Grogan, Alex Herrera, Leroy Jackson, Gary Levens, Marco Mastrorilli, Oscar Molina, and Nate Silverman Audio: Nate Cummin, Tony Stewart, Phil Turner, and Gary Wahlgren » Subscribe to CNBC: https://cnb.cx/SubscribeCNBC » Subscribe to CNBC TV: https://cnb.cx/SubscribeCNBCtelevision » Watch CNBC on the go with CNBC+: https://www.cnbc.com/WatchCNBCPlus About CNBC: From 'Wall Street' to 'Main Street' to award winning original documentaries and Reality TV series, CNBC has you covered. Experience special sneak peeks of your favorite shows, exclusive video and more. Want to be your own boss? Sign up for Smarter by CNBC Make It's new online course, How To Start A Business: For First-Time Founders. Find step-by-step guidance for launching your first business, from testing your idea to growing your revenue. Sign up today with coupon code EARLYBIRD for an introductory discount of 30% off the regular course price of $127 (plus tax). Offer valid September 16 through September 30, 2025: https://cnb.cx/4gEgnhO Connect with CNBC News Online Get the latest news: https://www.cnbc.com/ Follow CNBC on LinkedIn: https://cnb.cx/LinkedInCNBC Follow CNBC News on Instagram: https://cnb.cx/InstagramCNBC Follow CNBC News on Facebook: https://cnb.cx/LikeCNBC Follow CNBC on Threads: https://cnb.cx/threads Follow CNBC News on X: https://cnb.cx/FollowCNBC Follow CNBC on WhatsApp: https://cnb.cx/WhatsAppCNBC #CNBC How Walmart’s Lax Marketplace Vetting Came With Growth And Scams