Quantcast
Latest Stories

De Lima reverses ruling against Red Bull maker


Justice Secretary Leila de Lima INQUIRER FILE PHOTO

MANILA, Philippines—Justice Secretary Leila de Lima has reversed a decision issued by her department in June 2012 and ordered the prosecutor of Legazpi City to withdraw a criminal case earlier filed against the Thai manufacturer of Red Bull energy drink and its authorized distributor in the Philippines.

In a seven-page resolution issued last Dec. 5, De Lima granted the motion for reconsideration filed by Thailand-based TC Pharmaceutical Industries Co. Ltd. (TCPI) and its authorized distributor Maryland Distributors Inc. (MDI), which contested the June 21, 2012, resolution issued by Department of Justice (DOJ) Undersecretary Jose Vicente Salazar.

De Lima said there was no probable cause to charge TCPI with unfair competition, as alleged by Energy Food and Drinks Inc. (Efdi), the former distributor of Red Bull in the country.

“We find no deception or fraudulent intent on the part of TCPI or MDI.  Accordingly, no unfair competition was committed,” she said.

The DOJ also effectively recognized the right of TCPI to choose its authorized importer and distributor in the Philippines. TCPI is one of the largest companies in southeast Asia.

Foreign investors have been monitoring the progress of the case because of its implications on the relations of global manufacturers and their distributors in the Philippines.

In his June 2012 resolution, Salazar recommended the filing of criminal charges against the top officials of TCPI and MDI for alleged unfair competition.

Efdi claimed it was the authorized distributor of Red Bull in the Philippines but TCPI said it terminated its contract with Efdi on Oct. 31, 2008.

On May 22, 2009, TCPI formally appointed MDI as its authorized distributor. On Oct. 26, 2009, the Thai company announced the appointment of MDI as the exclusive Philippine importer of its products.

EFDI, however, filed identical criminal cases against TCPI and MDI in various courts around the country for alleged unfair competition. All these cases have been dismissed, except the one in Legazpi City, which was initially dismissed by the prosecutor but revived by Salazar in June this year.

“Contrary to the ruling in our June 21, 2012, resolution, no probable cause exists to charge respondents with unfair competition,” De Lima said in granting the motion for reconsideration in favor of the Thai manufacturer.

In her resolution, De Lima said the facts of the case do not show that TCPI passed off Red Bull products which it manufacturers for those products which Efdi deals with or distributes.  “The facts do not also show that MDI passed off the products that it was dealing with or distributing …as the goods of Efdi,” she said.

De Lima said the stickers on the label of the Red Bull products distributed by MDI in fact inform the public of the source of the products and who actually distributes them in the Philippines.


Follow Us

Follow us on Facebook Follow on Twitter Follow on Twitter


Recent Stories:

Complete stories on our Digital Edition newsstand for tablets, netbooks and mobile phones; 14-issue free trial. About to step out? Get breaking alerts on your mobile.phone. Text ON INQ BREAKING to 4467, for Globe, Smart and Sun subscribers in the Philippines.

Tags: Leila de Lima , Maryland Distributors Inc. , MDI , Red Bull energy drink




Copyright © 2014, .
To subscribe to the Philippine Daily Inquirer newspaper in the Philippines, call +63 2 896-6000 for Metro Manila and Metro Cebu or email your subscription request here.
Factual errors? Contact the Philippine Daily Inquirer's day desk. Believe this article violates journalistic ethics? Contact the Inquirer's Reader's Advocate. Or write The Readers' Advocate:
c/o Philippine Daily Inquirer Chino Roces Avenue corner Yague and Mascardo Streets, Makati City, Metro Manila, Philippines Or fax nos. +63 2 8974793 to 94
Advertisement
  1. Fr. Suarez says last Mass on Easter before returning donated land to San Miguel
  2. Chinese lawyers say they were tortured by police
  3. Hair salon’s Kim Jong Un poster riles embassy
  4. Siquijor ‘healer’: For every cure, there’s a plant
  5. State seeks guilty verdict for Abalos
  6. Why college grads end up in the PNP
  7. Estrada: I will pray for my detractors
  8. Miraculous image makes Gapan City top site for pilgrimage in Central Luzon
  9. I’ll follow my conscience on Estrada, says JV Ejercito
  10. Five men from Cavite found dead in jeep in Batangas
  1. Suspect in Vhong Navarro mauling tries to leave PH
  2. MH370 co-pilot made mid-flight phone call – report
  3. Netizens cry: 6/55 Lotto was rigged
  4. I’ll follow my conscience on Estrada, says JV Ejercito
  5. ‘Wife of Jesus’ theory papyrus not fake – Harvard study
  6. Fr. Suarez says last Mass on Easter before returning donated land to San Miguel
  7. Gay college instructor arrested for oral sex with student
  8. ‘King’ Yabut and I: Driver bares Makati dad ‘abuses’
  9. It was difficult having Japanese blood
  10. Palace: We can’t blame increase in population on Vitangcol
  1. KL confirms Malaysian Airlines Flight MH370 ended in Indian Ocean
  2. MRT passengers pass the hat for 6-year-old Ashley
  3. Pork payoffs to newscasters Erwin Tulfo, Del Prado, others bared
  4. UP back on top as ‘average’ student aces bar
  5. Rookie, lady cops lauded for quick response to MOA heist
  6. Model Helena Belmonte wished ‘to slash her wrist and hope to die’
  7. Malaysia averts another air tragedy; pilot lands troubled plane safely
  8. Revilla says he was joking; Lacson stands by his story
  9. Revilla ‘consulted’ Lacson on how he evaded arrest
  10. Police rule out foul play in Helena Belmonte’s death as boyfriend is ‘traumatized’
Advertisement

News

  • 20 killed as Islamic extremists rampage in Nigeria
  • Drug firm Novartis to help Leyte firefighter
  • Fears grow for hundreds missing in South Korea ferry capsize
  • Robot sub makes first complete search for plane
  • uFly fires flight simulator who appeared on CNN
  • Sports

  • Federer would skip tennis to be with wife, newborn
  • Manny Pacquiao in PBA? If so, he’ll wear No. 17
  • PSC sets Blu Girls US training
  • Power Pinoys settle for 7th place
  • Successful coaches to get raise
  • Lifestyle

  • Pro visual artists, lensmen to judge Pagcor’s photo contest
  • ‘Labahita a la bacalao’
  • This is not just a farm
  • Clams and garlic, softshell crab risotto–not your usual seafood fare for Holy Week
  • Moist, extra-tender blueberry muffins
  • Entertainment

  • Jay Z to bring Made in America music fest to LA
  • Why Lucky has not bought an engagement ring for Angel
  • Derek more private with new girlfriend
  • ‘Community’ star happy with return of show’s creator
  • Jealousy is kid stuff
  • Business

  • PH presses bid to keep rice import controls
  • PSEi continues to gain
  • Number of retrenched workers rose by 42% in ’13
  • PH seen to sustain rise in FDIs
  • Gov’t subsidies to state firms fell in first 2 months
  • Technology

  • DOF: Tagaytay, QC best at handling funds
  • Smart phone apps and sites perfect for the Holy Week
  • Tech company: Change passwords or suffer ‘Heartbleed’
  • Filling the digital talent gap
  • SSS to shut down website for Holy Week
  • Opinion

  • Editorial cartoon, April 17, 2014
  • A humbler Church
  • Deepest darkness
  • ‘Agnihotra’ for Earth’s health
  • It’s the Holy Week, time to think of others
  • Global Nation

  • Japan says visa-free entry still a plan
  • First Fil-Am elected to Sierra Madre, Calif. city council
  • UC Irvine cultural night to dramatize clash of values in immigrant family
  • Filipino sweets and info served at UC Berkeley Spring Fest
  • Milpitas, California kids wrap up a successful run of ‘The Wiz’
  • Marketplace
    Advertisement