Tribunal Dismisses Karachi Nimco’s Appeal, Upholds Rs20M CCP Penalty

The Competition Appellate Tribunal has firmly rejected an appeal by M/s Karachi Nimco, upholding a Rs20 million penalty imposed by the Competition Commission of Pakistan (CCP) for deceptive marketing and trademark infringement. The dismissal stemmed from non-pursuance, marking the second time Karachi Nimco failed to engage in proceedings. An earlier appeal, dismissed for similar reasons, was reinstated at the company’s request, but its legal counsel once again failed to appear, leading the Tribunal to dismiss the case and condemn the use of delaying tactics.

The CCP launched its inquiry following a 2019 complaint from M/s Nimco Corner, which accused M/s Nimko Corner and M/s Karachi Nimko of mimicking its branding, packaging, and trade dress. After a thorough investigation, the CCP ruled that both companies violated Section 10 of the Competition Act, 2010, by misleading consumers through imitation. Both admitted to unauthorized use of intellectual property, prompting the CCP to slap Rs25 million on M/s Nimko Corner and Rs20 million on M/s Karachi Nimco, while ordering them to halt infringing practices and submit compliance reports.

The Tribunal’s ruling reinforces the CCP’s commitment to safeguarding intellectual property and promoting fair competition, sending a clear warning to businesses engaging in deceptive practices.