Authorities probe dirty tactics in counterfeit laundry detergent scheme

Importers accuse rival of repackaging 66 tons of inexpensive and possibly hazardous detergent imported from Turkey to look like Ariel products

A logo of Ariel detergent is displayed on a wall with other logos of other Procter & Gamble products, Tuesday, June 14, 2011 in P&G's headquarters building in Cincinnati, Ohio. (AP Photo/Al Behrman)
A logo of Ariel detergent is displayed on a wall with other logos of other Procter & Gamble products, Tuesday, June 14, 2011 in P&G's headquarters building in Cincinnati, Ohio. (AP Photo/Al Behrman)

Israeli authorities have launched an investigation into allegations of an ongoing counterfeit laundry detergent scheme.

A Channel 13 TV report said tax authorities were probing allegations that up to 66 tons of Ariel detergent sold to Israeli consumers over the last year were actually an inexpensive and possibly hazardous product imported from Turkey.

Ariel is a detergent brand manufactured and sold by US multinational Procter & Gamble in European, Asian and Latin American markets.

According to the report, customs inspectors conducting a raid at the Ashdod port recently discovered several tons of fake detergent in warehouses belonging to an importer identified only as “A.”

Importer A was accused of running the scheme by his competitors, who told Channel 13 they became suspicious when he was able to offer the same product — a 6-kilo package of detergent — for far less than the market price.

“We noticed the market prices dropping suspiciously low for about a year,” a fellow Ariel importer identified as “G” told Channel 13.

He said Importer A was selling the 6-kilo package for NIS 25-30 ($6-8), when the market value of that product in Israel was between NIS 32-42 ($9-12).

“So we decided to approach a few suppliers in Turkey and other places abroad, and we found out about a city that manufactures all this fake detergent that gets sent to Israel,” he said.

But Importer A firmly rejected the allegations, telling Channel 13 his competitors were trying damage his business because they were being out-priced by the market. He said the detergent he imports to Israel is manufactured by the official Procter & Gamble factory in Turkey.

Experts quoted by Channel 13 declined to say if or whether any of the Ariel detergents on supermarket shelves were counterfeit, but warned that very cheaply made soaps and detergents often contain chemicals that are unhealthy and hazardous to humans.

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