P&G Pakistan was fined 10 M for false advertisment of Safeguard soap

P&G was fined Rs. 10 million for making up the claim that Safeguard soap is the best antibacterial soap in Pakistan.

The Competition Commission of Pakistan (CCP) fined a multinational organization Rs 5 million for using deceptive marketing practices, and the Competition Appellate Tribunal upheld the CCP’s decision.

Proctor and Gamble Pakistan (P&G) filed an appeal seeking to have the CCP’s ruling overturned, but the Tribunal denied it on Monday. The Tribunal further declared that the CCP has the power to evaluate a complaint’s legitimacy and decide whether to pursue it further based on its merits.
P&G was first hit with a 10 million rupee fine by the CCP for misrepresenting Safeguard, their antibacterial soap, as the best in Pakistan. Nevertheless, the Tribunal lowered the penalties to Rs 5 million in recognition of P&G’s assistance with the inquiry and

The complaint, made by Reckitt Benckiser Pakistan Limited, claimed that P&G’s Safeguard advertising campaign was deceptive, which prompted an investigation.

P&G’s promotional efforts were found to have breached Section 10 of the Competition Act by giving the false impression that Safeguard was the best antibacterial soap in Pakistan without providing sufficient evidence, according to the CCP.
In addition, the promotion of Safeguard as “Pakistan’s No. 1 rated Anti-bacterial Soap” in the absence of a prominent disclaimer is illegal under Section 10 of the Competition Act. As per the suggestion of the inquiry report, Proctor & Gamble Pakistan was sent with a show cause notice.