The Australian unit of UK confectionery giant Cadbury Schweppes has been admonished by the Australian Competition and Consumer Commission (ACCC) over misleading labelling on some confectionery products.
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The ACCC said it has accepted court-enforceable undertakings from the company after it was found to have sold products that claimed to have been made by a 100% Australian owned company.
In April 2003 Cadbury acquired Sunrise Confectioners (Aust), which distributed products under The Natural Confectionery Company (TNCC) brand in packaging that stated: “The company has been in the same family for four generations and is 100% Australian owned.”
The ACCC said that whilst TNCC packaging now reflects Cadbury Schweppes’ ownership, since the acquisition certain TNCC confectionery products were sold, and remain available for sale in some retail outlets, in packaging bearing the former ownership statement.
“The ACCC views false claims about Australian ownership very seriously,” said ACCC chairman Graeme Samuel. “Companies must be diligent in acquisitions or takeovers to ensure representations made reflect changes in company ownership so as to not reap any undue benefit from inaccurate ownership claims.”
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By GlobalDataIn response to the ACCC’s concerns, Cadbury Schweppes has undertaken to ensure that none of the remaining stocks of TNCC products in the old packaging is sold or distributed, notify consumers throughout Australia by means of a consumer notice and apology to be published in Australia’s daily newspapers that Cadbury Schweppes acquired TNCC with effect from 28 April 2003, and refrain from making any future representation to the effect that Cadbury Schweppes is 100% Australian owned.
