The makers of Bosisto's tea tree oil, Felton Grimwade and Bosisto's Pty Ltd (FGB) has been ordered to pay a penalty of $10,800 pursuant to an infringement notice issued by the Australian Competition and Consumer Commission.
The ACCC said it had reasonable grounds to believe that FGB had made a "false or misleading representation in breach of the Australian Consumer Law (ACL)" by labelling its tea tree oil as 100% pure, when that was not the case.
The ACCC said it had commissioned testing which indicated that the Bosisto's tea trea oil product was not pure.
"Consumers must be able to rely on purity or credence claims made on product packaging and labelling when making purchasing decisions, as they are unable to verify the accuracy of these claims themselves," said ACCC commissioner Sarah Court.
The ACCC noted that the payment of a penalty following the issue of an infringement notice is not an admission of contravention of the Australian Consumer Law.
As well as Bosisto's other FGB brands include Euky Bear and Extralife, while the company also holdes the exclusive Australian distribution rights to Vicks, Braun and BON.
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