Beijing, Feb 2 (IANS) A hair care products company in east China has been fined for using banned chemicals in its products, China’s food and drug watchdog said Tuesday.

The Zhangguang 101 Co. Ltd. – based in Zhejiang province – paid 245,040 yuan (over $37,000) in fines and had its illegal gains confiscated, Xinhua reported citing a statement issued by the State Food and Drug Administration.

The products were bound for Singapore and Hong Kong markets.

An investigation found that some products made by the company contained minoxidil, an anti-hypertension drug.

Minoxidil is banned as an ingredient in cosmetic products. Clinical studies have shown it can stimulate hair growth and slow balding, but side effects include possible itching, redness or irritation of the skin.

In China, production of hair nourishing products must be approved by the ministry of health.