Emami fined Rs 15 lakh in decade-old Fair & Handsome misleading ads case

The complaint mentioned that despite regular use of the fairness cream, as per the instructions on the packaging, it did not lead to fairer skin as advertised

The Central Delhi District Consumer Dispute Redressal Commission on Wednesday imposed a fine of Rs 15 lakh on Emami Ltd for unfair trade practices in connection with its Fair and Handsome fairness cream. The ruling came after a complaint filed 11 years ago in 2013 alleging that the product’s advertisement was deceptive and failed to deliver promised results.

 

The case faced several delays, including a 2015 ruling in the complainant’s favour, which was later returned for re-evaluation by the Delhi State Consumer Commission. The latest ruling marks the conclusion of the decade-long legal battle. This comes at a time when courts and forums have intensified their scrutiny on misleading advertisements in the fast-moving consumer goods (FMCG) sector.

 

 

Emami misleading ads case background

The complaint mentioned that despite regular use of the cream, as per the instructions on the packaging, it did not lead to fairer skin as advertised. The cream, priced at Rs 79 at the time, assured results in three weeks following consistent application.

 

The complainant also told The Indian Express how he has been drawn to purchase the product after watching ads featuring actor Shah Rukh Khan that promised “looking fair would mean looking handsome”. However, after using the product for three weeks, as mentioned on the package, no results appeared, leading to the complaint in 2013.

 

Emami Ltd argued that the complainant could not conclusively prove adherence to the instructions and emphasised factors like diet, exercise, and lifestyle, which were not mentioned on the product label, as influencing outcomes.

 

Forum finds Fair and Handsome ads misleading

The forum, led by President Inder Jeet Singh and member Rashmi Bansal, found the company’s advertisements and packaging misleading. It noted: 

Incomplete instructions: The product’s label did not mention additional conditions like diet or age restrictions (16-35 years for ‘normal young men’), which were highlighted in the company’s submissions.

Unfair trade practice: Emami used misleading claims and advertisements to promote sales without providing comprehensive usage guidelines or disclaimers.

Consumer expectations: A reasonable consumer could believe that simply following the provided instructions would achieve the advertised results, which was not the case.

 

Emami to pay Rs 15 lakh fine

In its verdict, the consumer forum directed Emami to pay Rs 14.50 lakh in punitive damages to the Delhi State Consumer Welfare Fund, as well as Rs 50,000 as punitive damages to the complainant and Rs 10,000 towards his litigation costs.

 

The forum also ordered the company to stop deceptive advertisements, withdraw misleading packaging, and refrain from re-exhibiting them in any form.

 

The forum explained that punitive damages are intended to penalise the respondent for intolerable behaviour and deter similar misconduct. It emphasised that such measures aim to reform the defaulting party while protecting consumers from unfair trade practices.

 

[With PTI inputs]