CCPA imposes ₹1 lakh fine on United Biscuits for misleading 'wholewheat' Marie claims

The Central Consumer Protection Authority (CCPA) has imposed a ₹1 lakh penalty on United Biscuits Private Limited, formerly Pladis India Private Limited, for marketing McVitie’s Marie Biscuits as “Wholewheat” even though the product contains only 19.5 percent whole wheat flour..The CCPA found that the prominent use of the expression “Wholewheat” on the packaging was capable of misleading consumers about the actual composition of the biscuit. The product contained 52 percent refined wheat flour, or maida, while whole wheat flour accounted only for 19.5 percent..The order was passed on August 28 by CCPA Chief Commissioner Nidhi Khare and Commissioner Anupam Mishra..The consumer protection body also directed the company to discontinue the allegedly misleading advertisement with immediate effect across print, electronic and social media. It further ordered that all fresh packaging be modified to remove the allegedly false and misleading claim.The proceedings arose after the CCPA took suo motu cognisance of an online article highlighting the manner in which McVitie’s Wholewheat Marie Biscuits were marketed..A preliminary inquiry found that the packaging prominently represented the biscuits as “Whole Wheat”, while the ingredient declaration showed that whole wheat flour formed only 19.5 percent of the product.The matter was thereafter referred to the CCPA’s investigation wing.The investigation concluded that the expression “Wholewheat”, together with images of wheat on the principal display panel, could create the impression that the biscuits were predominantly made from whole wheat flour..United Biscuits argued that “McVitie’s Wholewheat Marie” was a registered trademark and that the word “Wholewheat” was not intended to represent the actual composition of the biscuit. It also pointed to a disclaimer on the packaging clarifying that the trademark did not describe the true nature of the product.The CCPA rejected the defence, holding that a disclaimer could not neutralise a misleading impression created by a prominent representation on the packaging. CCPA saidIt also said consumers could not be expected to ignore the main representation on the front of the pack and rely on comparatively inconspicuous qualifying text..During the hearing, United Biscuits said it was willing to revise the packaging and remove the word “Wholewheat” from the registered trademark depicted on the pack. It sought a nine-month transition period to exhaust existing packaging material.However, the CCPA directed that all fresh packaging be modified from the date of the order.Apart from imposing the ₹1 lakh penalty for misleading advertisement and unfair trade practice, the Authority directed the company to submit a compliance report within 15 days..[Read Order]