Royal Mabati factory fined Ksh 2.65 million for misleading ond defrauding customers

Kenya roofing giant, Royal Mabati Factory has lost an apeal to overturn ksh 2.65 million penalty that was imposed to it for misleading customers that they deliver purchased roofing products countrywide.

The firm has also been found guilty of forcing customers to change their product orders then demanding delivery fees.

In top of the huge financial penalty, the competition tribunal has also ordered the roofing company to refund to customers their outstanding balance within 60 days or deliver the ordered products within the next 30 days.

Royal mabati products

Royal Mabati is also demand to stop giving misleading advertement and to sensitize its sales team on provisions of section 65 of the competition act outlawing misrepresentation of products.

During the ruling, the trubunal noted that, “evidence on record showed that despite having been issued with cease-and-desist order the appellant continued to offend the said order and provision of the act.”

This seemed to be yet another court scandal for the firm as back in 2018 the firm was sued by Mabati Rolling Mills for infringement of trademark for versatile brand.

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