WISCONSIN / ARKANSAS – The United States’ Federal Trade Commission (FTC) has hit national retailers Kohl’s and Walmart with substantial financial penalties regarding alleged false environmental marketing claims.
The FTC has reached an agreement with Kohl’s, which will pay US$2.5 million, and Walmart, which will pay US$3 million, due to their “deceptive environmental claims” surrounding bamboo-based products, which in fact contained rayon.
“Kohl’s and Walmart are paying millions of dollars under the FTC’s Penalty Offense Authority for mislabelling their rayon products as bamboo,” said Samuel Levine, director of the FTC’s Bureau of Consumer Protection. “False environmental claims harm both consumers and honest businesses, and companies that greenwash can expect to pay a price.”
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