The Khadi Turmoil
Khadi India has threatened to sue Fabindia, a chain of ethnic wear retail outlets, for allegedly indulging in “unfair trade practices” by using and selling its cotton products unauthorisedly under its registered brand name “Khadi”. Khadi & Village Industries Commission (KVIC) has sent a legal notice to Fabindia Overseas Pvt Ltd asking it to immediately stop using the khadi word from all its cotton products and remove display banners from its showrooms immediately, alleging that Khadi India’s brand name was unlawfully used to mislead and confuse the consumers.
“You are called upon to explain your position in the above matter within 15 days from the date of receipt of this notice, failing which the KVIC will be constrained to proceed against your company as per law for the violation of Khadi Mark Regulation and payment or incidental damages for the losses caused to KVIC by Fabindia,” the February 8 legal notice addressed to Fabindia’s New Delhi-based CEO said.
Justifying the legal notice, KVIC Chairman V K Saxena said, “the KVIC was very keen to protect its reputation and would take stringent measures against those who violated rules and regulations that have been framed for the benefit of rural artisans attached to it.”