Consumer Forum Slams Emami’s Fair & Handsome For Misleading Ads, Imposes Rs 15 Lakh Fine
The bench, comprising President Inder Jeet Singh and Member Rashmi Bansal, concluded that the company's claim of delivering fairer skin within three weeks was deceptive and lacked supporting evidence
The District Consumer Disputes Redressal Commission (Delhi’s Central District) has found Emami (opposite party/OP) guilty of engaging in unfair trade practices and misleading advertising concerning its "Fair and Handsome" fairness cream and asked the company to remove all the misleading advertisements. The bench, comprising President Inder Jeet Singh and Member Rashmi Bansal, concluded that the company's claim of delivering fairer skin within three weeks was deceptive and lacked supporting evidence, thereby violating consumer rights.
“The conclusions drawn above makes it crystal clear that the OP is offering the product - Fair and Handsome cream with few, negligible and limited instructions on the packaging and labelling that its use regular use for three weeks will result into fairness in the skin of man, despite knowing that instructions mentioned are incomplete instructions and for want of following the other requirements, it will not give the result claimed. ...this proves misleading advertisement and unfair trade practice that in order to promote product and sales, such strategy was adopted by the OP,” the Commission held, reported Bar and Bench.
As a result, on Monday, the commission ordered the withdrawal of all misleading advertisements and packaging. Additionally, it imposed punitive damages of Rs 15 lakh, with Rs 14.5 lakh to be deposited into the Delhi State Consumer Welfare Fund and Rs 50,000 to be paid to the complainant.
“ The complaint is partly allowed in favour of complainant and against the OP while directing OP (i) to discontinue the unfair trade practice in respect of its product, to withdraw those packages, labels, advertisements either of its brand ambassador or otherwise and not to re-exhibit by mode of audio or visual or combination of both forthwith; (ii) to deposit punitive damages of Rs 14,50,000/- in the Delhi State Consumer Welfare Fund (its receipt will be furnished to this Commission in time), (iii) to pay balánce punitive damages Rs 50,000/- (which includes loss amount of Rs79l-) to the complainant as determined and payable and (iv) to pay costs of Rs 10,000/- to the complainant. The amount will be deposited and payable within 45 days from the date of this order,” the Commission held, as per the report.
The case stemmed from a complaint filed by Nikhil Jain against Emami Limited, accusing the company of unfair trade practices and misleading advertisements for their product "Fair and Handsome Cream." Jain stated that he purchased the cream for Rs 79 and used it according to the instructions. However, the product failed to deliver the promised results, such as fairness and other claimed benefits, making it defective.
Jain sought one year of corrective advertisements, punitive damages of Rs 19.9 lakh, and litigation costs of Rs 10,000.
Emami Limited denied all allegations in its defence, claiming that the product was scientifically tested and complied with all regulatory standards.
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