According to the Sydney Morning Herald, according to the Australian Consumer Act, companies producing painkillers Nurofen have misled consumers and acted too badly, raising the fine from $1.7 million to $6 million.
The pharmaceutical company, Reckitt-Benckiser, was brought to the Federal Court by the Australian Competition and Consumer Commission in December and was sentenced to a fine of $1.7 million.
The court learned that the company`s Nurofen-specific painkillers claim to contain ingredients that specifically treat certain types of pain, such as migraines, tension headaches, dysmenorrhea and back pain. But the fact that they all contain only one ingredient-ibuprofen lysine Nurofen-has doubled the price of its painkillers, which is an abominable act that misleads consumers.
Then, ACCC said the fine was too light, and that for a large company like Reckitt Benckiser, $1.7 million was not enough to "deter" it, and it should be increased to $6 million.
On Friday, the court ruled: "over the past five years, Reckitt Benckiser has repeatedly engaged in illegal acts, selling 5.9 million so-called Nurofen-specific painkillers. The fine on the company will be increased to $6 million. " The purpose of the increase is to "ensure that Reckitt Benckiser and other companies think twice and never do any harm to the public interest."
The President of ACCC, Mr. Rod Sims, welcomed the decision: "The amount of a fine of $6 million or more is appropriate in view of the long-term and widespread nature of the company`s misguided consumer behaviour and the sheer volume of sales. ACCC will continue to support a more severe penalty for violators to ensure the law`s deterrent."
It is understood that in the past five years, the Nurofen special effects painkiller series sales of 5.9 million units, revenue for the company as high as $45 million.
The Nurofen issued a statement saying it was "disappointed" by the court`s decision that the initial fine of $1.7 million was appropriate.
"the Nurofen-specific painkiller contains ibuprofen lysine, which is faster than the ibuprofen contained in ordinary Nurofen."
Nurofen also said it "does not intend to mislead consumers," but also realized that each product that the company should have labeled the series on its packaging would have the same effect on other pain to help consumers understand better.
