The Competition Appellate Tribunal (CAT) has dismissed an appeal filed by Reckitt Benckiser Pakistan Limited against a 2021 order of the Competition Commission of Pakistan (CCP) related to the alleged deceptive marketing of its product Strepsils.

The Tribunal upheld CCP’s finding that the company violated Section 10(2)(b) of the Competition Act, 2010 by providing misleading information about the nature and classification of the product. It maintained the penalty of Rs. 30 million and directed the company to fully comply with corrective measures issued by the Commission within the stipulated timeframe.

The case originated from a complaint by M/s Square Distribution & Marketing System (Pvt.) Ltd., which alleged that Reckitt Benckiser’s advertising and packaging created the impression that Strepsils was a medicinal throat-relief product, despite its deregistration as a drug. The product is currently classified and registered as a food item.

In its ruling, the Tribunal noted that significant changes had already been made to the product’s packaging during and after the regulatory proceedings. It highlighted that the revised packaging now prominently displays the label “Non-Medicated” in both English and Urdu on the front of packs and blister strips, a disclosure that was previously less visible.

The Tribunal observed that these changes reflected compliance with regulatory directions and acknowledged that the company had substantially modified its marketing and labeling practices following the CCP’s intervention.

As part of the original CCP directives, Reckitt Benckiser is also required to publicly communicate the product’s reclassification from a medicinal drug to a food item. This must be done through advertisements in at least three widely circulated English and Urdu newspapers across Pakistan, published weekly until full compliance is ensured.