E-commerce giant Amazon is being investigated in two states for its handling of third-party sellers on its website. The New York Times reported Friday that state investigators are probing the company in Washington, while the Wall Street Journal reported the same day that California is conducting an investigation into Amazon’s alleged misconduct towards third-party merchants.

These investigations come as the European Union reportedly plans to bring formal antitrust charges against the company on this issue. The European Commission began investigating Amazon’s dual role as both a marketplace operator and seller of its own products in July.

A Journal report in April claimed that Amazon uses data from independent third-party merchants to develop its own products, allowing the e-commerce giant to gain advantages over its competition. Amazon has denied implementing this practice. The company has stated that it follows all laws and said its business accounts for 4% of the U.S. retail market.

A 2016 investigation from ProPublica reported that Amazon uses its shopping algorithms to put its own products ahead of better-priced deals from third-party sellers. Amazon has denied the allegations and claimed that price is not the only factor it uses to determine the best deal for consumers.

The House Judiciary Committee is currently conducting an antitrust investigation into Amazon and other tech companies, to see if they are abusing their power in the marketplace. In May, several members of the Committee asked CEO Jeff Bezos to testify “on a voluntary basis,” but also threatened to subpoena him if he did not decide to take questions from lawmakers.

“It is vital to the Committee, as part of its critical work investigating and understanding competition issues in the digital market, that Amazon respond to these and other critical questions concerning competition issues in digital markets,” the letter said.

Amazon is currently under scrutiny due to its workplace practices amid the coronavirus pandemic. The company said it is spending $800 million on COVID-19 safety precautions and providing personal protective equipment for workers.

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