Recently, the Bombay High Court granted ad-interim injunctions in a trademark and copyright infringement action concerning the alleged large-scale counterfeiting of “GOLD FLAKE” cigarettes. The Court held that the plaintiff had demonstrated a strong prima facie case and that delay would defeat the purpose of interim protection. In the matter involving counterfeit cigarette manufacturing from a farmhouse in Raigad, the Court observed that the seized cigarettes appeared to contain a hazardous mix of sawdust and chemicals, posing serious risk to public health.
The plaintiff, owner of the long-established and widely reputed “GOLD FLAKE” trademark, approached the Court alleging that the defendants were operating a clandestine cigarette manufacturing unit in a farmhouse in Raigad. A police raid was conducted after the plaintiff lodged a complaint, during which machinery, raw material and finished counterfeit GOLD FLAKE cigarettes were discovered and seized. The plaintiff asserted that the defendants were manufacturing and circulating counterfeit products without any valid factory licence and were using packaging deceptively similar to the plaintiff’s well-known brand.
Counsel for the plaintiff submitted that the “GOLD FLAKE” mark has been in use since the early 1900s and enjoys immense reputation, supported by substantial sales. It was argued that the defendants, being owners and operators of the farmhouse unit, were engaged in producing counterfeit goods intended for distribution within Mumbai and surrounding regions. Counsel further highlighted that the police raid had uncovered machinery, counterfeit packaging and cigarettes suspected to contain a mixture of sawdust and chemicals.
It was contended that the magnitude of the illegal operation suggested the existence of undisclosed stockpiles of counterfeit products. Counsel therefore urged that urgent relief be granted without notice to prevent the circulation of harmful counterfeit goods.
The Court examined the pleadings, supporting material and the additional affidavit. It noted that the reasons set out by the plaintiff demonstrated that any delay in granting protection “will defeat the purpose of ad-interim relief.” The Court also expressed serious concern over the nature of the seized counterfeit cigarettes, observing that the products were learned to contain “a mix of sawdust and chemicals which would be hazardous to the health of the general public.”
Upon prima facie comparison of the two products reproduced before it, the Court observed that the defendants’ goods bore clear imitation of the plaintiff’s trademark and trade dress. The Court noted that the filing of the police charge-sheet indicated “sufficient evidence being found by the police authorities as regards the counterfeit manufacture of the Plaintiff’s products.” The Court held that the plaintiff’s longstanding use of the mark, its registrations, and its substantial goodwill were undisputed, and that the defendants’ activities would cause irreparable injury to the plaintiff’s reputation.
Finding a strong prima facie case, the Court granted ad-interim injunctions in terms of prayer clauses (a) to (d), restraining the defendants from manufacturing, selling, advertising or dealing in counterfeit GOLD FLAKE cigarettes, from infringing the plaintiff’s copyright, and from passing off their goods as those of the plaintiff. The defendants were also directed to disclose details of all persons connected with the illicit unit, the dealers involved, and the inventories and locations of all counterfeit products.
The matter is listed for further consideration on 10 December 2025, and the previously granted ad-interim relief has been ordered to continue until the next date.
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