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The Supreme Court Lifts Stay On Proceedings Against Nestle India

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The Supreme Court, yesterday, has lifted the stay on proceeding against Nestle India Ltd by National Consumer Disputes Redressal Commission (NCDRC) in regards to the three-year-old case of Maggi Noodles. The central government had filed a class-action suit Nestle India.

As per the Supreme Court’s order, NCDRC can proceed against Nestle India on the basis of laboratory test reports by the Central Food Technological Research Institute (CFTRI) in Mysuru. Nestle India in a statement said: “Nestle India welcomes the orders passed by the Supreme Court in Maggi Noodles matter today (Thursday).”

The case which came out in 2015, when FSSAI banned Maggi for five months for allegedly containing lead beyond permissible limits. Then in December 2015 the supreme court stayed the proceedings against Nestle India and directed NCDRC to test the noodles by CFTRI. Nestle later came all cleared and was declared safe for consumption.

The government then had approached the consumer court against Nestle India alleging unfair trade practices, false labelling and misleading advertisements and sought has the compensation of Rs. 640 crore under the provisions of the Consumer Protection Act, 1986.

Read EquityPandit’s Technical Analysis Of Nifty FMCG

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