CCPA fines Storia Foods, English Oven ₹1 lakh each for misleading ‘100% claim’

The Central Consumer Protection Authority (CCPA) on Sunday said it has imposed penalties of ₹1 lakh each on Mrs Bectors Food Specialities, known for brand English Oven and Storia Foods and Beverages Pvt Ltd for misleading ads consisting of “100 per cent” claim. The Authority has also directed the two companies to immediately continue the “impugned claims” from their product packaging, websites and digital platforms. The action has been taken under the provisions of the Consumer Protection Act and the Guidelines for Prevention of Misleading Advertisements and Endorsements for Misleading Advertisements, 2022.

The Authority said that all claims relating to composition, quality, nutrition or health benefits must be truthful, verifiable and non-deceptive. It noted that “100%” is a precise and absolute numerical expression and cannot be used loosely, approximately or as a marketing slogan. “Any such claim must correspond exactly with the actual composition of the product.” It added that the term must be understood in its plain and literal sense by an ordinary consumer,”it added.

CCPA said that Storia made ” 100 per cent claim”for products its Tender Coconut Water as well as juices including pomegranate, Mixed Fruit, Mango and Guava Chilli. However, CCPA stated that the ingredient declaration indicated that the “100 per cent Tender Coconut Drink” was made from water and coconut water concentrate (9.6 per cent), reconstituted to be “equivalent” to 100 per cent coconut water. The word “reconstituted” appeared only in fine print in the ingredient panel and was not prominently disclosed alongside the headline claim, it noted.

Concurrent claim

The product also contained the Class II preservative INS 202, which the CCPA said made a concurrent claim of “100 per cent Natural” wholly untenable. It made similar observations regarding discrepancy in actual ingredients composition on labels compared to the “100 per cent” claim on its juices products.

In the case of brand English Oven, the CCPA noted that claims such as “”100% Atta Bread” and “100 per cent Whole Wheat Bread” among others have been made by the company in its ads. However, during the proceedings the company admitted that the bread products contained 87 per cent whole wheat flour. “A product containing 87 per cent whole wheat flour cannot be advertised as “100% Atta Bread” or “100% Whole Wheat Bread”.The expression “100%” is an exact numerical qualifier and leaves no room for approximation,” the CCPA stated in its observations.

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