Colgate-Palmolive fined Rs 10 million for deceptive advertising campaign
The penalty has been imposed by a bench comprising of CCP.
ISLAMABAD (Daily Dunya) - The Competition Commission of Pakistan (CCP) has slapped Rs10 million fine on Colgate-Palmolive for deceptive advertising campaign of its product ‘Max All Purpose Cleaner (Max APC)’ which is in violation of Section 10 of the Competition Act, 2010.
The penalty has been imposed by a bench comprising of CCP Chairperson Vadiyya Khalil and Member Ikram Ul Haque Qureshi.
CCP received the complaint from Colgate-Palmolive’s main competitor Reckitt Benckiser Pakistan Ltd which accused the former of deceptive and false marketing of its product.
The complainant said that Colgate-Palmolive harmed Reckitt Benckiser Pakistan Ltd’s business interest while making comparative claims in a bid to discredit its product - Dettol, a competing product to Max APC.
A show-cause notice was issued to Colgate-Palmolive after in inquiry was made in the matter by CCP. However; Colgate-Palmolive failed to provide any reliable and reasonable evidence in favour of its product.
CCP bench found four claims made by Colgate-Palmolive as false and misleading while harming the business interests of Reckitt Benckiser and other competitive companies.
The bench slapped Rs10 million fine and directed Colgate-Palmolive to modify all the advertising material related to Max APC.
