HC fines two persons Rs 5 cr in trademark infringement case

The Bombay High Court has imposed a fine of Rs five crore on two persons for selling spurious pipes for use in oil plants, and directed that the money should be paid to a cancer hospital.

Justice S J Kathawalla on April 15 directed defendants Kishor Jain and Jeetendra Burad to pay Rs five crore to the Tata Memorial Cancer Hospital here.

"The present case is the quintessential illustration of the extent to which a few unscrupulous persons, such as the present defendants, can go, in order to make a quick buck.

"It is utterly unfortunate that such people have absolutely no regard for ethics or principles and in the bargain, they make an irreparable dent to the reputation of our country," the court said in its order.

Nippon Steel & Sumitomo Metal Corporation had filed a suit against Jain and Burad for selling carbon seamless pipes, used in oil plants, to a company in Saudi Arabia by falsely claiming that they were made by Nippon.

The defendants also provided forged certificates bearing Nippon Steel & Sumitomo Metal Corporation trademark and logo, the suit said.

The high court held that the defendants were involved in "infringing activities" and "admitted not only to the fabrication of the impugned certificates but also to affixing the plaintiff's logos/ marks upon the spurious pipes".

These activities were of a serious and criminal nature, the court said in its order.

"The severity of the situation lies in the fact that these pipes are always installed in sensitive areas. If these spurious pipes do not meet the standards and quality as the original pipes....in all likelihood there are bound to be disastrous consequences," the high court said.