The National Anti-Profiteering Authority (NAA) has dismissed a profiteering complaint against M/s Yum Restaurants India Ltd, who run the KFC Brand finding that there were no reliable and strong evidence were against the company.
After a preliminary enquiry, the investing authority said that there were more than 700 outlets in India of the “KFC” brand which was a subsidiary of US based “Ws Yum! Brand Inc.”. The investigating wing further submitted that in the absence of any specific evidence of profiteering against a specific supplier of M/s KFC, he was not in a position to initiate any investigation in the matter. He had further submitted that it was also not practical to initiate investigation against all the franchisees of Ws KFC, especially when there was no evidence of profiteering.
After hearing both the sides, the NAA observed that the allegation of profiteering had not been proved against the respondents and therefore the present proceeding should be dropped.
“We have carefully considered the Report filed by the Applicant No. 2 as well as the submissions made by the Respondent No. 1 and it is obvious from the narration of the facts stated above that the investigation conducted in the matter by the Applicant No. 2 against the Respondent No.1 could not establish profiteering for want of credible evidence and hence no violation of the provisions of Section 171 of the CGST Act 2017 could be established,” the NAA said.
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