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GVH issues HUF 90 mln fine for two MLM companies

Cloulyn Pro Ltd. and ASSORT FLEX Kft. were fined by Hungary’s Competition Office (GVH) a combined HUF 90 million for charges of misleading advertising, Hungarian news agency MTI reported today.

According to GVH, during the marketing of the two companies’ Lavylites product line in the period of August 2013 - November 2015 in an MLM system, the companies made unsubstantiated claims on the efficiency and the medical and health effects of the products, MTI reported.

Cloulyn Pro Ltd. received a fine of HUF 50 mln and distributor ASSORT FLEX a fine of HUF 40 mln.