'Khadi' goes out of Fabindia products

By PTI Published on Feb 20, 2017 09:26 AM IST

New Delhi: Fabindia has started removing the brand name Khadi it uses to promote its cotton products after a legal notice by Khadi India that the use of the word amounted to unfair trade practice and misusing its trade name.

Khadi & Village Industries Commission (KVIC) had sent a legal notice to Fabindia Overseas Pvt Ltd, a chain of ethnic wear retail outlet, asking it to immediately stop using the word Khadi from all its cotton products and remove display banners from its showrooms.

Sources said Fabindia CEO Viney Singh has responded to KVIC's notice, saying it was complying with all the directions of the KVIC. Fabindia has stated that as per the direction issued by KVIC, it has complied with them, they said. Fabindia, in its reply, has also sought a meeting with KVIC offi cials to explain its position in order to resolve the matter to the satisfaction of Khadi India.

KVIC chairman, V K Saxena, who justified the legal notice, referred to the earlier communications with Fabindia by which the private firm's application for Khadi mark was treated as closed. He cited a 29 September 2016 letter which stated that 'upon the request of Fabindia, several meetings were held with KVIC and the last meeting was held on 2 August 2016, with Chairman of KVIC at New Delhi. During the meeting, it was assured that Fabindia will communicate their consent shortly.'