Puri Constructions Issues Misleading & Potentially Illegal Advertisement
November 14, 2014 - Uncategorized
In the Hindustan Times of Nov 14, 2014 Puri Constructions has released a very misleading and potentially illegal advertisement. The overall theme of the advertisement is that it is an invitation for an investment, and in figures and words, it conveys that people can double their money in 3 years or less. There are 5 contentious points and graphics tricks that are used. And how Puris can get away with ads like these, with the least oversight by the Govt, Administration, and the Advertising Council is amazing. The Full Ad is given below.
- The Ad says that the “capital values” have doubled in the last “couple of years” while the chart shows it to be 3 years, i.e 2011 to 2014.
- The chart shows that in the next “couple of years” to 3 years the prices can double from Rs 7,500 psf to Rs 15,000 psf. Though they are clever (or devious?) enough to mark it as “future” and not 2017, the equi-distance of the placement of the bars from 2014 shows that they are clearly communicating the “future” when the prices will double again to be 2017. This is a false picture of future gains, and way to rosy to be possible.
- Their use of “capital values” is false and misleading. Nothing that was launched at Rs 3500 psf has become worth Rs 7500 psf. It is just that some projects were launched at Rs 3,500 psf in 2011, and some others were launched by other builders at a higher price of Rs 7500 psf. They are mixing apples and oranges to give the impression that almost everything along the Dwarka Expressway doubled in value over the last 3 years …. highly misleading. Prices in fact have been stagnant over the last “couple of years” and NO increase in price of any project has been seen.
- No “thousands of crores” of investments have yet been done along the Dwarka Expressway. Thousands of crores have been collected in EDC by the govt, and probably thousands of crores have been provisioned to be spent in all of Gurgaon, but “thousands of crores” have not already been spent on Dwarka Expressway as the advertisement tries to communicate.
- The economy is not “strong & stable,” and by saying this they are almost becoming like financial advisors, and promising to double the investment in 2 to 3 years. Puris should not be making such claims as it is illegal to promise such high returns, esp without getting a licence from the govt to be able to say so. And to say so, without any cautionary notes about the authenticity of such claims is highly irresponsible to say the least.
- The rest of the ad also makes numerous misleading claims …