ISLAMABAD: The Competition Commission of Pakistan (CCP) imposed a penalty of Rs10 million on Proctor & Gamble for deceptively advertising its product, a statement said on Wednesday.

The CCP imposed the penalty for the advertisement that claimed Safeguard was Pakistan’s number one-rated anti-bacterial soap, which was in violation of Section 10 of Competition Act 2010.

A two-member bench comprising CCP Chairperson Vadiyya Khalil and Member Ikram Ul Haq Qureshi passed the order.

The CCP received a formal complaint from Reckitt Benckiser, which alleged that the claim in the advertisement by Proctor & Gamble lacked a reasonable basis.

Reckitt Benckiser alleged that Proctor & Gamble ran an advertisement campaign for Safeguard that was not only misleading consumers but also harming the business interests of its competitors.

An enquiry conducted by the CCP concluded that the overall impression of the Safeguard advertisement is that “Safeguard is Pakistan’s number one antibacterial soap” as the word ‘rated’ is written in a significantly smaller font and without a clear and conspicuous disclosure.

On the recommendation of the enquiry report, a show-cause notice was issued to Proctor & Gamble.

After hearing the complainant and respondent, the CCP’s bench passed the order stating that the advertising claims must be based on “competent and reliable scientific evidence” particularly if the product involves health and safety claims.

Besides, products must carry clear and conspicuous disclaimer along with the claims, which consumers could easily notice and understand.

The CCP order found Proctor & Gamble’s reliance on studies and surveys to rank itself as Pakistan’s number one-rated antibacterial soap irrelevant, materially false and misleading and in violation of Section 10 of Competition Act 2010.

Published in Dawn, July 27th, 2017