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February 6, 2013

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H&M fined for poor quality shoes

IN cases involving poor product quality, high street fashion brand H&M was among those to be fined for selling unqualified leather shoes, the city's market watchdog announced yesterday.

The Shanghai Industrial and Commercial Administrative Bureau said it handled 85,000 cases last year relating to illegal business operations amounting to 3.1 billion yuan (US$500 million).

H&M Shanghai was fined 690,000 yuan for selling substandard women's leather shoes and all the profits from the sales were confiscated by Xuhui Industrial and Commercial Administrative Bureau, authorities said.

The shoes were found at the H&M's outlet in Bailian Xuhui Shopping Center.

H&M immediately took the shoes off their shelves nationwide and ordered all outlets to take back the goods from consumers with no conditions attached, said Amy Fu, who works with the Communications & Press Department at H&M Shanghai.

The company put the blame on different product testing methods in China, saying its products had passed checks overseas.

H&M Shanghai said it would not resell the products at local outlets.

Meanwhile, Shanghai Binhong Trade Co Ltd was penalized for fabricating the production date on expired seasoning and sauces and sold them at its famous hotpot chain Little Sheep.

Shanghai Binhong, a sales agent of Little Sheep, was fined and profits worth 1.19 million yuan were seized by Minhang authorities. The company has more than 100 Little Sheep outlets at supermarkets in the East China region.

In other cases, the Shanghai Xiangzhun Business and Trade Co Ltd was fined 1.02 million yuan for fabricating the production place on its suitcases.

Shanghai Jiali Bedding Materials Co Ltd was fined for making false claims in its advertisement that its products were made in Italy.


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