Thai restaurant investigated for making misleading discount claims

Thai restaurant investigated for making misleading discount claims

File photo of Thai food steamboat
File photo of a steamboat. (Photo: Pixabay)

SINGAPORE: A Thai restaurant was investigated last year after it failed to state an end date to its discount period on promotional materials published on its website, social media page, menu and in-store posters, Singapore's competition watchdog said Friday (Aug 16). 

In a media release, the Competition and Consumer Commission of Singapore (CCCS) said that while conducting market monitoring, it also found Charcoal Thai 1 had indicated that discounts for meals such as lunch sets and steamboat items were either available for a "limited period only" or would be "Ending soon! 50 per cent discount".

The promotions continued to be available, however, for at least two more years since February 2016. 

CCCS infographic on misleading representation on discount period

"Such claims on the discount period not only misled consumers into believing that there is a price benefit and scarcity in the availability of the promotional prices, it also provided Charcoal Thai 1 an unfair advantage over businesses which comply with the CPFTA...," said CCCS. 

Charcoal Thai 1 has since agreed to cease the unfair practice and not engage in other unfair practices under the Consumer Protection (Fair Trading) Act. CCCS said it has closed the investigation, but that it would continue to monitor the restaurant's conduct. 

"CCCS has closed its investigation given that Charcoal Thai 1 has taken the necessary steps to adequately address CCCS’s concerns," the watchdog said. "CCCS will, however, continue to monitor Charcoal Thai 1’s conduct, and reserves the right to investigate any breach of the undertaking or any other unfair practices by Charcoal Thai 1.

“CCCS is also closely monitoring other businesses that engage in similar unfair practices ... Businesses are reminded not to engage in any practices that are likely to mislead consumers,” it added.

Source: CNA/zl(hs)

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