FatX Registration Cancelled: CDSCO Slams 'Misleading' Fat-Loss Claims
The CDSCO has cancelled FatX's registration after the company made illegal drug claims for a product registered as a cosmetic.
The Central Drugs Standard Control Organisation (CDSCO) has taken decisive action against the company FatX, cancelling its registration after discovering a glaring gap between the product's approved labeling and the bold claims made on its official website. The regulator found that the company was crossing the line between beauty products and medical treatments, leading to the immediate revocation of its license.
Cosmetics vs. Drugs: Where FatX Went Wrong
The crux of the issue lies in how FatX marketed its product. While the product was registered as a cosmetic, the company's website promoted it as a treatment capable of dissolving fat cells and reducing their size. According to the CDSCO, these assertions are "drug claims" and do not fit the legal definition of a cosmetic.
To clarify the distinction, the CDSCO cited clause (aaa) of Section 3 of the Drugs and Cosmetics Act, 1940. Under this law, cosmetics are defined strictly as articles intended for:
- Cleansing the human body
- Beautifying the appearance
- Promoting attractiveness
- Altering the general appearance
By claiming to physically alter fat cells, the regulator determined that FatX was marketing a medical effect under the guise of a beauty product.
Violation of Cosmetics Rules, 2020
Beyond the definition of the product, the CDSCO highlighted a breach of Rule 36 of the Cosmetics Rules, 2020. This specific rule is designed to protect consumers from deception, stating that no cosmetic product may convey any idea that is false or misleading to the user.
The regulator observed significant discrepancies and mismatches between the labels approved by the authority and the marketing language used on the importer's website, which misled potential customers about the product's actual capabilities.
The Road to Cancellation
The cancellation did not happen overnight. The process involved several steps of regulatory scrutiny:
- Show-Cause Notice: On August 10, 2026, the Licensing Authority issued a notice to the firm regarding the violations of the Drugs and Cosmetics Act and the 2020 Cosmetics Rules.
- Company Response: FatX submitted a response on September 1, 2026. However, the Licensing Authority deemed this response "inconclusive and unsatisfactory."
- Voluntary Surrender: In a surprising turn, the company also requested that the authority accept the voluntary surrender of its registration certificate.
Final Order and Impact
Exercising powers under Rule 16 of the Cosmetics Rules, 2020, the Central Licensing Authority officially cancelled the registration certificate (number RC/COS-003300). The certificate, which was issued on July 15, 2022, and was originally valid until July 14, 2027, is now void effective from the date of the order.
"On the website, the product is being marketed as a treatment for dissolving the fat cells and reducing the size of fat cells, which are drug claims and do not fall under the definition of cosmetics," the official order stated.