World
Cold Products Pay Millions for Misleading Consumers
Unproven cold prevention and treatment claims are nothing to sneeze at
 
There is no cure for the common cold but that has not stopped several over-the-counter products from claiming to treat the viral infection so common this time of year. 
 
But false and deceptive advertising carries a price. Here are a few recent cases where marketers were taken to task for making unsubstantiated claims about their product’s ability to both treat and prevent a cold.
 
They are not to be sneezed at:
Airborne — In perhaps the largest settlement of its kind, the makers of the multivitamin and herbal supplement Airborne agreed in 2008 to pay $30 million to settle a class-action lawsuit over the alleged false advertising of its “miracle cold buster.” The FTC alleged there was “no competent and reliable scientific evidence” behind Airborne’s claims. Sales of Airborne products exceeded $300 million from 2005 to 2007, according to the agency’s complaint. 
 
Rite Aid — The following year, national pharmacy chain Rite Aid agreed to dole out $500,000 in customer refunds to settle FTC charges that it deceptively advertised its “Germ Defense” tablets and lozenges, making germ-fighting claims backed by inadequate evidence. The FTC said $4.5 million worth of Germ Defense products flew off the shelves from 2005 to 2008. 
 
CVS — Just a few months after the Rite Aid resolution, national retailer CVS entered into a similar $2.8 million settlement with the FTC over the alleged deceptive advertising of its AirShield products. The FTC said AirShield was marketed as comparable to Airborne and like Airborne, the agency said AirShield lacked the science to support claims to boost the immune system or prevent colds. Sales of AirShield topped $14 million from 2005 to 2008, the FTC said. 
 
Zarbee’s — Dietary supplements cannot make the same health claims as drugs, which have FDA approval. In 2014, the FDA said that much to the makers of the dietary supplement Zarbee’s, warning in a letter that cold treatment and prevention claims on the product’s website and social media pages needed to go because Zarbee’s is not an FDA-approved drug. One of the challenged claims that still appears on the site states that Zarbee’s provides “proven congestion relief.” 
 
Cold-EEZE — A class-action lawsuit filed in 2014 alleges that the makers of Cold-EEZE have violated a 1999 FTC consent agreement that prohibits the company from making health claims without “reliable scientific evidence.” An FTC complaint alleging that the manufacturer of Cold-EEZE made unsubstantiated cold treatment and prevention claims on QVC, a national cable home-shopping network, prompted the consent agreement.
 
Dietary supplements and homeopathic remedies like the OTC cold products above are not reviewed by the FDA. Consumers should proceed cautiously and conduct due diligence before grabbing one of these products from off the shelf.
 

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Nifty, Sensex may go sideways – Monday closing report

As long as Nifty stays above 8,270, the index will edge higher

 

In Friday’s closing report, we had mentioned that the Nifty may continue to edge higher if it manages to stay above 8,240. The index opened lower but started moving higher.
After reaching near to Friday’s close the index moved sideways up to the beginning of the noon session. It then lost its strength and went into the negative. It regained strength and moved higher and finally managed closing the session in the green for the third consecutive session. Market sentiments were initially affected by the concern that Europe's stimulus plans may not solve the euro region's economic woes.
 
Sensex opened at 27,524 and hit its low at 27,324 while Nifty opened at 8,291 and hit its low at 8,246. At the end of the session Sensex reached up to 27,621 and closed at 27,585 (up 127 points or 0.46%) while Nifty reached up to 8,333 and closed at 8,323 (up 39 points or 0.46%). The NSE recorded a volume of 74.84 crore shares. India VIX rose 0.97% to close at 16.1100.
 
Today, the government will unveil industrial production data for November 2014 and on CPI inflation for December 2014.
 
India plans to implement a common goods and services tax across the country in the course of next year, Finance Minister Arun Jaitley reportedly said today.
 
India's growth slowdown has bottomed out and the pace of economic expansion is expected to accelerate, finance ministry's chief economic adviser Arvind Subramanian reportedly said on Monday.
 
BEML (10.07%) was among the top two gainers in ‘A’ group on the BSE. The stock hit its 52-week high today. It recently received Star Performer Award in the export category for the year 2012-13 at an event organised by EEPC India.
 
Videocon Industries (6.07%) was the top loser in ‘A’ group on the BSE. BSE has asked for a clarification from the company for the new article appearing in media that it is looking at buyers for its telecom business.
 
Hindustan Unilever (3.84%) continued to be the top gainer in Sensex 30 pack. It hit its new 52-week high today.
 
Finance Minister Arun Jaitley today said the divestment programme would be pursued on priority and will involve more than one PSU during this quarter ending March. Coal India (4.54%) was the top loser in Sensex 30 stock.
 
On Friday US indices closed in the red. US job growth increased briskly in December, but wages posted their biggest decline in at least eight years in a sign the tightening labour market has yet to give much of a boost to workers. Nonfarm payrolls increased by 252,000 last month after an upwardly revised jump of 353,000 in November, the Labor Department said. The jobless rate fell 0.2 percentage point to a 6-1/2-year low of 5.6%, but that was mainly because people left the labour force.
 
Asian indices which were trading today showed mixed performance. Hang Seng (0.45%) and NZSE 50 (0.45%) were the top gainers while Shanghai Composite (1.71%) was the top loser.
 
European indices were in the green while US Futures were trading higher. French gross domestic product expanded 0.1% in the fourth quarter from the third, the central bank said.
 

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