Century Plyboards (India) Limited - CenturyPly

Recommendation: Upheld | Medium: General Public

The ASCI had approached the advertiser for its response in addressing the grievances of the complainant and forwarded the details of the complaint, verbatim, to the advertiser with a request to respond to the same. The advertiser was offered an option to seek an Informal Resolution (IR) of the complaint by modifying or withdrawing the claim in the advertisement, or alternately to substantiate the claim with supporting data. The advertiser was also offered an opportunity for a telecon with the ASCI Secretariat, which they did not avail and requested for an extension of 10 days to submit their response. The deadlines stipulated by Consumer Complaints Council (CCC) procedure exist keeping in mind the immediate and widespread impact that advertisements have on the public. Consequently, any action which is needed to be taken with respect to the same is required to be prompt and urgent. It is for this purpose that the deadlines, as stipulated, are set for advertisers/broadcasters etc, and the CCC itself makes it a priority to deal with every complaint before it as expeditiously as possible. However, as a special gesture, the advertiser was granted an extension of additional two business days from the original due date to respond. The advertiser submitted that in 1998 ASCI initiated proceedings against one of its advertisements, leading to a suit before the Hon’ble Bombay High Court. The Court held that ASCI is not a regulatory body, lacks authority to investigate complaints or issue directions, especially since the Company is not a member of ASCI. The judgment, of July 1999, has attained finality and operates as res judicata. The advertiser asked ASCI to confirm if the judgment was challenged or set aside and, if not, to reconsider the recent show-cause notices. With respect to the objections raised against the claim on their website, the advertiser stated that they have been using the registered trademark “Sainik 710” since 2017 for water proof plywood, and the mark nowhere mentions any name resembling the Bureau of Indian Standards or includes the expression “Indian Standard” or any abbreviation. They further stated that “Sainik 710” is certified under IS 303:2024, which applies to water resistant plywood, and their website mentions it as Water Proof Plywood. ASCI clarified to the advertiser that the 1999 High Court order cited by them was later set aside by consent and does not operate as res judicata. ASCI further stated that ASCI can review advertisements of both members and non-members and only issues recommendations not binding orders. ASCI acknowledged the advertiser’s claim about the registered trademark “Sainik 710” but requested for a copy of the trademark certificate and supporting evidence of compliance with IS 303:2024 standards. In response to the above, the advertiser provided copy of the trademark registration certificate for “Sainik 710” issued by the Registrar of Trademarks. They further requested for two weeks time to compile additional supporting documents and respond to the complainant’s objections. ASCI acknowledged the advertiser’s response stating that, despite previously granted extensions, no further extension for submitting a detailed response could be allowed to ensure timely resolution of complaint. ASCI scheduled a zoom meeting to discuss the matter and shared the meeting details with the advertiser. However, the advertiser did not join the meeting offered by ASCI. The CCC viewed the Website advertisement (https://www.centuryply.com/plywood/sainik-710) considered the complaint, and the advertiser’s response along with the claim support data. The CCC observed that the advertisement of “Sainik 710” plywood is being promoted as “Asli Waterproof Plywood” on the company's website. The issue is that the use of the number “710” implies compliance with the BIS marine grade standard IS 710, which is meant for waterproof plywood. However, the product is actually certified under IS 303, which applies to water resistant plywood, not waterproof. The CCC further observed that the advertiser has asserted that the trademark “Sainik 710” has been in use since 2017 and is duly registered. The advertiser has provided a copy of the trade mark registration certificate. The plywood has IS 303:2024 certification, which covers water-resistant products. The CCC discussed that the use of “710” in the product name together with the claim, “Asli Waterproof plywood”, is likely to mislead consumers by implication that the plywood meets IS 710 standards set by the Bureau of Indian Standards, which apply to marine-grade plywood designed to be fully waterproof, even when submerged for long periods. However, the plywood is actually certified under IS 303, which applies only to water-resistant plywood, meaning it can resist moisture to some extent but is not suitable for immersion. By advertising the product as “Asli Waterproof” and using “710” in the brand name, the advertiser misrepresents its actual performance. Based on this assessment, the CCC concluded that the Website claim, “Sainik 710 - Asli Waterproof plywood”, is false, is misleading and is likely to lead to widespread disappointment in the minds of consumers. The said claim contravened Chapter I, Clauses 1.1, 1.4 and 1.5 of the ASCI Code. This complaint was UPHELD.