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Italy’s competition authority on Wednesday fined British American Tobacco’s Italian unit 6 million euros ($6.4 million) and Amazon 1 million euros for misleading advertising of heated tobacco products.
The AGCM watchdog said the companies had clarified “information regarding the prohibition of tobacco/nicotine intake and sale to minors associated with the use of these devices” for BAT’s Glo Hyper X2 and Glo Hyper Air devices. He said that he advertised it without making a statement.
It said the product was being sold “as a simple electronic device and just a design object” and that the advertising focused on aesthetics, ignoring the fact that it was related to tobacco consumption.
“This is a grossly misleading act that induces customers to purchase a product that poses a health risk and is prohibited for minors,” the agency said.
BAT Italy and Amazon.it, the Italian arm of a major US company allegedly involved as an online seller, strongly contested the fines imposed after an investigation launched last year.
“We will appeal the decision,” an Amazon spokesperson said in a statement.
“ICA’s claims are factually and legally incorrect. Our product descriptions include references to age restrictions and health-related risks when purchasing these products.”
It added: “We have further clarified this information to help our customers address the authorities’ concerns.”
BAT also said it intended to appeal.
“We have always provided adequate information about the fact that our products are intended only for adult smokers,” the company said in a statement.
It also said it had already implemented changes in response to concerns from authorities.