In the competitive globalized economy today, surrogate advertising of products has become an increasingly popular trend in the fields of advertising. According to a study conducted in India by NIMHANS, kids as young as 19 are today taking to alcohol which the study warns will be 15 in the next few years. Taking note of the seriousness of the matter and consequent ill effects of cigarette, alcohol and other intoxicants on consumers, the Indian government has banned advertisements of these products in the media. But the wise marketers have come out with alternatives, the companies use surrogate advertising in order to reach out with the message to the target group. These advertisements violate the statutory provisions and defeat the very purpose of the ban which has been imposed. This article is an attempt to research upon the Indian trend of this noteworthy advertising technique empirically and discusses the concept, impact and its effectiveness on consumers and ethical issues around it. A limited amount of research has been done on the subject and the present work lends significant credence to the practice of surrogate advertising and has implications for government, advertisers, media companies and consumers.