CCAA imposes heavy fines on companies selling expired and adulterated products

Around 2,207 companies from 75 different cities in 17 dzongkhags were inspected

Sherab Lhamo

The Competition and Consumer Affairs Authority (CCAA) has imposed a fine of Nu 1,027,200 on a wholesaler for adulterating premium quality rice with an inferior product.

This was found during inspections conducted by the CCAA in collaboration with the Bhutan Food and Drug Administration, Bhutan Bureau of Standards and the Regional Bureau of Industry, Trade and Employment.

During the fiscal year 2023-2024, the team inspected 2,207 companies from 75 different localities in 17 dzongkhags.

The CCAA also fined 176 grocery stores and restaurants for selling expired food products. The total amount of fines was Nu 205,756.

Of the 129 complaints received by the CCAA, 114 were individual complaints. Thimphu had the most with 89 complaints.

CCAA has refunded around Nu 0.7 million to consumers and assured repair or replacement of defective products.

The official said most of the refunds were made to consumers who had prepaid for goods and services and the sellers had failed to deliver the goods. A total of 46 consumers had availed of these refunds.

The office also suspended the activities of a Ponzi scheme known as PUTH Group and issued a public warning against participation in a similar scheme called ENVEER.

The CCAA also contacted and monitored over 50 registered e-commerce business owners. Of the 79 e-commerce entities registered with the Department of Commerce, only 56 were operational.

The official said most of the monitored e-commerce enterprises are in compliance with the Trade and Industry Rules 2023.

The few entities that did not meet certain standards were issued letters of correction and provided with guidance to help them achieve compliance.

This year, the number of consumer complaints has decreased, with 148 complaints received. The highest number of complaints was recorded in 2022 – 360, and the lowest in 2019 – 39.