On October 8, Blue Whale Financial Reporter learned from the Xiamen Commercial Entity Registration and Credit Information Publicity Platform that recently, Xiamen Yarui Optical Co., Ltd., an affiliate of Tyrannosaurus Glasses, was administratively punished, and the punishment content was: According to the first paragraph (14) of Article 58 of the Advertising Law of the People's Republic of China, the company was fined twice the illegal advertising fees involved in the case, that is, 218310 yuan, and the punishment unit was Siming District Bureau. The document number of the administrative punishment decision is Xiasi Municipal Supervision Office [2021] No. 152.
Image source: Screenshot of the official website of the Xiamen Commercial Entity Registration and Credit Information Publicity Platform
The administrative penalty decision shows that after investigation, the parties (Xiamen Yarui Optics) through the account registered and operated on Sina Weibo, named "MOLSION Momosen Glasses", with the unified brand image of "MOLSION Momsen", are responsible for the sales and drainage of contact lenses among affiliated companies, including Xiamen Shangyishi Trading Co., Ltd., and the advertising of its related products commissioned by Xiamen Aiyirui Optics Co., Ltd. entrusted by others to be published and managed on the Sina Weibo platform.
In the above-mentioned Weibo account, from March 7, 2020 to March 5, 2021, the parties published a total of 38 graphic and video advertisements that directly or indirectly introduced the 12 constellations, flowers, dreams, colors, and blooming series of contact lens products sold by the affiliated company.
The pictures and video materials in the above 38 advertisements were filmed and produced by Hangzhou Haomei Cultural and Creative Co., Ltd. and Multi-Equation (Xiamen) Media Technology Co., Ltd. (hereinafter referred to as "Multi-Equation Company"), and the owner of the SNS platform self-media account that has a cooperative relationship with Multi-Equation Company. Because the advertisements involved in the case were all published by the parties through their own Weibo and did not involve other operating and publishing costs, the above advertising expenses were related to the production of materials, totaling 218,310 yuan. The above-mentioned contact lens advertisements issued by the parties have not been reviewed by the market supervision department. Among them, in the contact lens interactive event advertisement with the topic of "#乘风破浪, fighting for eye" released by the parties at 10:00 on August 29, 2020, the picture uses the portrait of a doctor and accompanies the introduction.
Xiamen Siming District Market Supervision and Administration Bureau said that according to the "Medical Device Classification Catalog", contact lenses are three types of medical devices, and Article 46 of the Advertising Law of the People's Republic of China stipulates that the publication of medical device advertisements shall be reviewed by the relevant departments before publication; without review, they shall not be published. The parties published 38 "Mosen MOLSION" contact lens advertisements through the Sina Weibo account operated by the parties, constituting the illegal act of publishing advertisements without review as referred to in Article 58, Paragraph 1, Item (14) of the Advertising Law of the People's Republic of China.
According to the third paragraph of Article 16 of the Advertising Law of the People's Republic of China, the advertisement of medical devices shall be conspicuously marked "Please carefully read the product manual or purchase and use under the guidance of medical personnel", and the 38 "Moson MOLSION" contact lens advertisements published by the parties through Sina Weibo did not indicate the above content, which violated the provisions and constituted the provisions referred to in article 58, paragraph 1, item (1) of the Advertising Law of the People's Republic of China, and violating the Advertising Law of the People's Republic of China. Paragraph 3 of Article 16 provides for the illegal act of publishing advertisements for medical devices.
According to Article 11(2) of the Interim Measures for the Review and Administration of Advertisements for Drugs, Medical Devices, Health Foods, and Formula Foods for Special Medical Purposes, advertisements for medical devices shall not use the name or image of physicians as recommendations or testimonies, and the parties' contact lens interactive activity advertisements with the topic of "#乘风破浪, fighting for eye" released by the parties at 10:00 on August 29, 2020 use the name and image of physicians, in accordance with the "Drugs, Medical Devices, Health Foods, Article 27 of the Interim Measures for the Review and Administration of Advertisements for Formula Foods for Special Medical Purposes constitutes an illegal act in accordance with Article 58, Paragraph 1, Item (1) of the Advertising Law of the People's Republic of China, and violates the provisions of Article 16, Paragraph 1, Item (5) of the Advertising Law of the People's Republic of China.
According to the Tianyancha App, Xiamen Yarui Optical Co., Ltd. was established in July 2009, with the legal representative Huang Fatuo and a registered capital of 10 million yuan. The shareholding breakdown chart shows that the company's largest shareholder is OSA INVESTMENTS HOLDINGS PTE. LTD., 50% shareholding.
This article originated from Blue Whale Finance