The Competition Commission of Pakistan (CCP) has successfully recovered a penalty of Rs. 30 million from Reckitt Benckiser Pakistan Limited following a ruling by the Competition Appellate Tribunal (CAT) in a misleading advertising case involving the Strepsils brand.
The recovery comes after the Tribunal upheld the CCP’s earlier decision, which found the company responsible for providing deceptive information about the nature and status of its product. The case stems from a regulatory order issued by the Commission on February 9, 2021.
According to the CCP, Reckitt Benckiser violated Section 10(2)(b) of the Competition Act, 2010, which prohibits businesses from engaging in deceptive marketing practices that may mislead consumers regarding a product’s characteristics, quality, or intended use.
The Tribunal agreed with the regulator’s findings that the company’s marketing campaigns created the impression that Strepsils was a medicinal remedy designed to treat sore throat conditions. However, regulatory records showed that the product had previously been deregistered as a drug.
Following its deregistration as a pharmaceutical product, Strepsils was marketed as a non-medicated item and is currently registered under the food category. Despite this change in status, the CCP concluded that the advertising and promotional material continued to convey a medicinal image to consumers.
The case highlights the importance of transparency in product marketing and reinforces the responsibility of companies to ensure that advertising accurately reflects a product’s regulatory classification and intended purpose.
Consumer protection experts view the ruling as a significant step toward strengthening fair competition and preventing misleading commercial practices in Pakistan’s marketplace. The decision also serves as a reminder to businesses that promotional claims must align with regulatory approvals and product registrations.
The CCP has consistently emphasized its commitment to safeguarding consumer interests and maintaining a competitive business environment. By recovering the penalty after the Tribunal’s decision, the regulator has reinforced its stance against deceptive advertising and misleading market conduct.
Industry observers believe the ruling could encourage greater compliance among manufacturers and advertisers, ensuring consumers receive accurate information when making purchasing decisions.