Water filtration firm Purexygen and its directors warned by CCCS for unfair marketing practices

Purexygen had made misleading claims on the health benefits of alkaline or filtered water on its website and social media pages. PHOTO: PUREXYGEN/FACEBOOK

SINGAPORE – Water filtration company Purexygen and its directors have been issued warnings by the Competition and Consumer Commission of Singapore (CCCS) for unfair practices such as making misleading claims on the health benefits of filtered water.

In a statement on March 21, the CCCS said it is reviewing the marketing practices, accreditation, certification, and health benefit claims made by water filtration system suppliers, as part of its ongoing market monitoring of the industry.

The commission investigated Purexygen – a company that supplies water dispensers, alkaline water filtration systems and maintenance system packages to consumers – under the Consumer Protection (Fair Trading) Act (CPFTA), and found that the company had engaged in unfair practices between September 2021 and November 2023.

During this period, the company made misleading claims on the health benefits of alkaline or filtered water on its website and social media pages, such as how they can help prevent osteoporosis, acid reflux, blood pressure conditions and diabetes.

The company also said in its Carousell listings that its water tap and water dispenser were free for a limited time, even though both items are provided to all of Purexygen’s customers free at all times, and gave false excuses on its “persistent delay” in fulfilling a customer’s order for the water filters bought.

The company also falsely claimed, in sales kits used for customer pitches, that its water filters had been tested by testing bodies, said CCCS.

The commission added that Purexygen had stated in its service agreements that the sums paid for the activation fee and maintenance service package under direct sales contracts were non-refundable, but did not tell customers that they could legally cancel such contracts and be refunded.

Purexygen has changed its business practices after the investigation to comply with the CPFTA, including removing false claims from its sales kit, misleading listings on Carousell, misleading claims on the health benefits of alkaline and filtered water, and has delivered the water filters it owed to the customer.

The company has also pledged to stop engaging in unfair practices, cooperate fully with the Consumers Association of Singapore (Case) to resolve complaints from consumers, create an internal policy to ensure all marketing materials comply with the CPFTA, and ensure that all its employees familiarise themselves with the types of conduct that could be considered unfair practice.

The company’s directors, Mr Heng Wei Hwee and Mr Tan Tong Ming, have also pledged that Purexygen will not engage in further unfair practices.

“In closing the case, CCCS has accepted the undertakings of Purexygen and its directors, and also issued warnings to Purexygen and its directors regarding the unfair practices,” said the commission.

“CCCS will take action if Purexygen or their directors breach the undertakings or engage in any other unfair practices.”

CCCS chief executive Sia Aik Kor said that suppliers in the water filtration system industry are reminded to ensure that any claims made in marketing materials are clear, accurate and substantiated.

“Suppliers should also review their business practices from time to time to ensure that such practices do not amount to unfair practices,” she added. “Under the CPFTA, CCCS can seek out court orders against errant suppliers who persist in unfair practices.”

In a Facebook post on March 21, Case president Melvin Yong said six complaints have been filed against Purexygen since January 2021.

He added that the complaints generally pertained to consumers’ dissatisfaction with Purexygen’s service, including unresponsive communication and failure to fulfil maintenance agreements.

Mr Yong, who is also MP for Radin Mas, said the company’s undertakings are a signal to the marketplace that businesses engaging in unfair practices to exploit consumers will not be tolerated.

“This is especially so when consumers do not have the means to individually verify the claims, such as claims on the health benefits of alkaline or filtered water and claims on testing certification of its products,” said Mr Yong.

“While businesses can highlight the benefits of their products and services, claims intended to mislead or deceive consumers are unacceptable.”

Customers who come across false or misleading claims can approach Case for help, said CCCS.

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