The Competition Commission of Pakistan (CCP) today issued a show cause notice to RITS Incorporation, for undertaking deceptive marketing practices, in violation of Section 10 of the Competition Act 2010, in relation to its hair fall treatment product, Remaine. The show cause notice gives RITS Incorporation fifteen days to file a written reply and mandates it to appear before CCP on February 1, 2011. Earlier CCP had initiated a suo moto inquiry into the allegations of deception in the advertisements of Remaine wherein RITS Incorporation claimed the former provided 100 % hair fall treatment within fifteen days of use. RITS Incorporation further claimed in the advertisements that ‘not a single hair’ would fall after its use. The enquiry was completed vide an enquiry report dated 10 January 2011. The enquiry report concluded that RITS failed to provide any substantial evidence in support of its claim and was therefore, prima facie, in violation of Section 10 of the Competition Act, 2010. CCP, as part of its obligations under the law, routinely takes up cases of deceptive marketing which may cause harm to the consumers. This latest show cause notice is another example of CCP’s active role in ensuring a competitive and business friendly environment in Pakistan.
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