Mumbai’s ‘Khadi Emporium’ has been banned from selling fake Khadi products by the Khadi and Village Industries Commission (KVIC), the news agency reported. PTIquoting a statement.
The commission, which falls under the Union Ministry of Micro, Small and Medium Enterprises, has adopted a “zero tolerance” policy against the sale of fake or non-Khadi products in recent years and has taken action against the “more ancient Khadi institution”, which is almost seven decades old.
“The action came after KVIC discovered that the said Khadi Emporium at Dr DN Road was selling non-Khadi products under the guise of genuine Khadi,” the statement said.
He added that KVIC had issued a legal notice to Mumbai Khadi & Village Industries Association, which ran the emporium, for flouting the standards of the “Khadi Certificate” and the “Khadi Mark Certificate” issued by the Commission.
“With the deregistration, Khadi Emporium ceases to be a bona fide Khadi Outlet and is no longer authorized to sell Khadi Emporium products,” the statement read.
The KVIC is also considering legal action against the MKVIA for criminal breach of trust and deception of the general public by abusing the credibility and popularity of the Khadi brand, it added.
MKVIA was given the operation and management of KVIC in 1954 under “strict conditions” that it would only sell genuine products, but belatedly engaged in unfair business practices by selling fake products Khadi, thus deceiving people who had the impression that this Emporium was managed by KVIC, according to the press release.
The emporium was established in 1954 and sells a host of Khadi products, including clothing, furniture, toiletries and other handicrafts, for which it has continued to be a favorite with shoppers, even though private labels dedicated to the legacy linen brand have proliferated.
Due to its years of existence, the emporium on Dr. DN Road is a landmark in itself.
As part of its action, KVIC has so far issued legal notices to more than 1,200 entities, including one ₹Damages of 500 crores are sought from IPO-linked retail brand Fabindia for misusing the brand name “Khadi” and selling non-Khadi products under the name “Khadi”, which was challenged in the Bombay High Court, according to the statement. Last year, KVIC also forced online shopping portals – Amazon, Flipkart and Snapdeal – to remove 140 web links that sold non-Khadi products under the “Khadi” name. A number of offenders issued apologies and pledged not to use the “Khadi” brand name. in the future, the statement said, attributing it to KVIC’s actions.
With agency contributions.
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