Supreme Court Cracks Down on Misleading Advertisements by FMCG Companies, Targets Patanjali

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Supreme Court Cracks Down on Misleading Advertisements by FMCG Companies, Targets Patanjali

A Deeper Look

The Supreme Court of India, in a landmark decision, has taken a strong stance against misleading advertisements by FMCG companies, particularly Patanjali. The bench, comprising Justice Hima Kohli and Justice Ahsanuddin Amanullah, emphasized the need for thorough investigations into the practices of all FMCG companies that engage in such harmful advertising, especially those targeting vulnerable groups like babies, children, and senior citizens.

The court highlighted the importance of evaluating the implementation of relevant provisions under various acts and rules, including the Drugs and Magic Remedies (Objectionable Advertisements) Act, the Drugs and Cosmetics Act, and the Consumer Protection Act. They clarified that their intention was not to target specific entities but to uphold public interest and ensure transparency regarding consumer protection measures.

The bench directed the Union ministries of Consumer Affairs, Information and Broadcasting, and Information Technology to submit affidavits detailing their actions to prevent the misuse of consumer laws since 2018. Additionally, they sought clarification from the Centre regarding a letter issued by the Ministry of Ayush in August 2023, instructing authorities to refrain from taking action against misleading advertisements.

In response to allegations from the Indian Medical Association (IMA) regarding misinformation spread by Patanjali about allopathic medicines, the bench urged the IMA to address its internal issues and criticized its members for unethical practices and endorsing costly and unnecessary treatments. The National Medical Commission was also directed to participate in the proceedings.

The court further instructed Yoga guru Ramdev and Patanjali Managing Director Acharya Balkrishna to issue additional advertisements expressing regret and scheduled further hearings for April 30. This follows Patanjali's publication of apologies in certain newspapers, admitting to errors in their advertisements, after the Supreme Court previously refused to accept their apologies in the contempt case related to misleading advertisements.

This scrutiny comes at a time when many well-known companies are under investigation for the quality of their products. The Supreme Court's decision is a significant step towards protecting consumers from misleading advertising and ensuring responsible practices by FMCG companies.