Madras HC restrains Youtuber in favor of an oil company

CHENNAI: The Madras High Court has directed a Youtuber to pay Rs 7 lakhs to Gold Winner, an edible oil product from Kaleeshwari Refinery, for damaging the brand of the oil company among its consumers.

The oil company moved the Madras High Court (MHC) to restrain the YouTube channel DiCapScoop run by A Akshay from disseminating damaging remarks against the brand in any manner.

The case was listed before Justice R N Manjula.

According to the oil company that the Youtuber in his Youtube channel released a video alleging that one-liter pocket of Gold Winner oil consists of only 7 pockets of 100 ml and claimed that one-liter oil is selling 300 ml less and the consumers got only 700 ml of oil, despite they paid the price for 1-liter oil.

The company contended that it has been selling 'Gold Winner' for over 30 years from 1993 and established a reputation among the consumers.

The action of the Youtuber has tarnished the image of the oil company market more importantly among the general public, argued the counsel of the company. The Youtuber's action and misrepresentation were purposely done to gain attention, it was intended just to bring down the hard-earned reputation of the brand, contended the counsel.

Further, the counsel sought to initiate legal proceedings against the Youtuber for defamation, and Rs. 1 crore has to be recovered from the Youtuber for the damages done to the brand, submitted the counsel.

After the submission, the judge observed that the Youtuber's action appears to be with an intention to defame and damage the Gold Winner product. Hence, the judge granted a permanent injunction in favour of the oil company by restraining the Youtuber from making any defamatory remarks against 'Gold Winner' and imposed Rs 7 lakhs as compensation to the oil company.

It may be noted that the Youtuber or his counsel has not appeared before the court to contend their side.