CCCS warns water filtration system supplier over unfair marketing; firm vows to stop practices
An image of filtered water taken from Purexygen's Facebook page.
SINGAPORE — A water filtration supplier has pledged to improve after the competition watchdog found that it engaged in unfair marketing to consumers such as making misleading claims on the health benefits of using filtered water.
The Competition and Consumer Commission of Singapore (CCCS) issued a warning to the firm Purexygen and its directors after conducting a review of the practices of water filtration system suppliers over concerns about its marketing.
The review was part of ongoing industry monitoring, CCCS said in a media release on Thursday (March 21).
The watchdog investigated Purexygen under the Consumer Protection (Fair Trading) Act and found that the company had engaged in unfair sales practices between September 2021 and November 2023.
Purexygen is a supplier of water dispensers, alkaline water filtration systems and maintenance service packages to consumers.
In its investigations, CCCS said that Purexygen:
- Falsely claimed that its filters were tested by testing bodies in the sales kit used by its salespersons in their sales pitches to consumers
- Made misleading claims on the health benefits of alkaline or filtered water on its website, Facebook and Instagram pages
- Claimed that alkaline or filtered water can help prevent health conditions such as osteoporosis, acid reflux, blood pressure conditions and diabetes
- Falsely told customers that its water faucet and water dispenser were free for a limited time in listings on e-marketplace Carousell even though both items were provided to all Purexygen customers for free at all times
- Gave false excuses for its persistent delay in providing consumer’s purchased water filters
- Falsely stated in its service agreements that the sum paid for the activation fee and maintenance service package were non-refundable
- Did not inform consumers of their right to cancel such contracts to obtain a refund
CCCS said that the company has since "taken active steps to make changes to their business practices to ensure compliance" with the Act.
This includes removing false claims from its sales kit, misleading promotion listings on Carousell, and misleading claims on the health benefits of alkaline or filtered water from its website and social media pages. It is also providing outstanding sets of water filters to its consumers.
Purexygen has also pledged to stop engaging in unfair practices, co-operate fully with the Consumers Association of Singapore (Case) to resolve consumer complaints and has put in place an internal compliance policy to make sure that its marketing materials and practices comply with the Act.
It added that the firm also vowed to ensure that its workers undergo training to familiarise themselves with the types of conduct that would amount to an unfair practice under the Act and maintain records of such training.
The company's directors, Mr Heng Wei Hwee and Mr Tan Tong Ming, also pledged not to engage in any unfair sales practices.
The commission said that it "has accepted the undertakings of Purexygen and its directors, and also issued warnings to Purexygen and its directors regarding the unfair practices".
It added that it will take action against Purexygen if the company or directors breach the measures or engage in any other unfair practices.
Last month, national water agency PUB released a statement assuring the public that tap water in Singapore is safe to drink and tested daily.
The statement followed complaints against Sterra Singapore, which sells appliances such as air and water filters, for an advertisement implying that the country’s tap water is unsafe for drinking.
CCCS' chief executive officer Sia Aik Kor said on Thursday that suppliers in the water filtration system industry are reminded to review their marketing materials to ensure that any claims made to consumers 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.
"Under the (Act), CCCS can seek court orders against errant suppliers who persist in unfair practices," Ms Sia said.
In a Facebook post on Thursday, Case president Melvin Yong said that the association has received six complaints against Purexygen since January 2021.
In general, consumers were dissatisfied with the company's service, which included unresponsive communication and failure to fulfil maintenance agreements, he added.
Mr Yong said that the action against Purexygen "sends 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," he wrote.
"While businesses can highlight the benefits of their products and services, claims intended to mislead or deceive consumers are unacceptable."
Consumers who encounter false or misleading claims may approach Case for help, or call 6227 5100 for more information.
