Bombay High Court Halts Production And Sale Of Fake 'Gold Flake' Cigarettes

The Bombay High Court has temporarily restrained individuals in Raigad from manufacturing and selling counterfeit 'Gold Flake' cigarettes, following a copyright and trademark infringment suit by ITC Limited. The order will remain in effect until December 10, 2025.

In an order passed on November 13, Justice Sharmila U Deshmukh observed that denying interim protection in such circumstances would defeat the purpose of injunction and expose the public to serious health risks.

ITC Limited, which markets the Gold Flake brand, told the court that the trademark dates back to 1905 and has been continuously registered since 1942. The company also holds copyright over the artistic elements and trade dress used on the packaging.

In 2024, the company filed a criminal complaint after discovering illegal manufacturing of fake Gold Flake cigarettes. A police raid at a Raigad farmhouse in October 2024 uncovered a fully equipped unit producing counterfeit cigarettes. A police FIR was registered on October 25, 2024, and a charge sheet was filed on May 2, 2025. ITC informed the court that the counterfeit products contained sawdust mixed with chemicals, making them highly unsafe for consumers.

The court noted that comparing the seized packets with genuine Gold Flake packaging clearly showed the goods were counterfeit. It further observed that ITC had provided sufficient evidence demonstrating its long-standing trademark rights, commercial reputation, and extensive market presence. Given the composition of the fake cigarettes, the Court said they posed a grave threat to public health.

The court held that ITC had made out a prima facie case and that any delay in granting protection would cause irreparable harm to the company's goodwill and reputation.

Consequently, the individuals and their associates are restrained from manufacturing, selling, distributing, or dealing in counterfeit Gold Flake cigarettes or any deceptively similar goods, and from using ITC's artistic works or trade dress in a way likely to mislead consumers.