In a boost to the country's top food regulator's move against misleading advertisements by the food firms, a UP court has slapped a fine of `10 lakh on Noida-based Amway India Pvt Ltd, one of the largest direct-selling company in the country, for making false claims regarding its leading supplement food product Nutrilite Daily.
The Food Safety and Standard Authority of India (FSSAI) in 2011 had filed a case against Amway in the court of Adjudicating Officer (FSSA) cum Additional District Magistrate, Gautam Budh Nagar for violating the provision of the Section 24 of the Food Safety and Standards Act 2006 which pertains to misleading advertisements - and the Food Safety and Standards (Packing and Labelling) Regulations (FSSR), 2011.
It alleged that the company in its advertisements placed in the newspaper, television and other media for its Nutrilite Daily product has been falsely claiming "if you are not taking a truly adequate and well balanced diet, the Nutrilite Daily may be a convenient once a day choice for supplemental nutrients you have been looking for".
The product also claimed that "each tablet supplies 13 vitamins, 11 minerals and phytofactors plant compound from nutrilite's exclusive plant concentrate. Nutrilite exclusive nutria lock makes tablet easier to swallow."
In its defence, the company said that the product does not claim that don't eat food and that it will fulfill your need, rather it said that it can provide nutritional supplements to the consumer in case they are not able to take "balanced" diet.
However, the FSSAI pointed out that the claims made by the company were not proved by the signs on the products. It further maintained that to avoid stringent rules and the clinical trials under the DCGI, many companies are trying to sell their products under the 'food' category under the FSS Act which is more relaxed and flexible.
Agreeing with the FSSAI contention, ADM Chandra Sekhar also doubted the report of the lab that the company had submitted to substantiate its claim. While imposing fine against the company, the court also took note that its other products such as Iron Folic, Natural B had not got the approval from the food regulator.
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