The Competition Authority of Kenya (CAK) has fined the care beauty, firm Flame Tree Africa Limited a total of Sh487, 251 for what it termed as misrepresenting the quality and safety standards of the brand to consumers and public at large.
After a sector-wide inquiry determined the beauty company was not in compliance with pertinent consumer information on standards and safety, CAK noted that the company chose to enter into a settlement agreement.
“Flame Tree Africa Limited undertook to comply with the applicable provisions of the Act and all applicable product information standards and safety information standards,” stated CAK.
The company sells a variety of beauty items, such as lotions, moisturisers, and nail paints now joins the growing list of firms that have been rendered guilty of providing consumers with false information about their products.
Nairobi Ruaraka’s PZ Cussons, a global consumer goods company that promotes the welfare of individuals, families, and communities around the world, was fined Sh595,000 in November for incorrectly labeling its goods.
The business that owns home care products including Morning Fresh as well as personal care brands like Imperial Leather, Carex, Cussons Baby, Flamingo, and Venus was penalised by the regulator for relaying false information to its publics.
A number of investigations into the company’s products, including Cussons baby perfume jelly, Imperial Leather body lotion, Japanese spa, and Venus skin care smoothing body lotion, led to the penalty.
The Soko maize flour miller was fined a whopping sh. 600,000 by the authority in a related instance for misrepresenting the brand’s quality and contents.
Royal Mabati was recently fined Sh2,652,363 million by the Competition Tribunal for deceiving its customers and breaking the 2010 Competition Act.
The Competition Authority of Kenya ordered the roofing company in a statement to fully pay the Sh2,652,363 fine, reimburse its clients, and stop running fraudulent marketing.
“The Authority is of the opinion that this ruling will deter suppliers of goods and services from engaging in conduct that misrepresents the terms of a transaction to consumers and encourage implementation of robust and fair complaints redress mechanisms,” the Regulatory body revealed.
The Competition Authority of Kenya established under the Competition Act, No. 12 of 2010 (the Act)’s mandate is to enforce the Act with the objective of enhancing the welfare of the people of Kenya by promoting and protecting effective competition in markets and preventing misleading market conduct by all stakeholders involved throughout Kenya.