Overview

The Karnataka High Court has ruled that manufacturers and packers are responsible for misbranded food products, not just sellers. Justice Suraj Govindaraj stated that Section 27(1) of the Food Safety and Standards Act, 2006 holds manufacturers and packers accountable if their products fail to meet legal and regulatory requirements, including misbranding.

Food Safety Officials Flag Shashi Iodine Salt

On September 7, 2015, a Senior Food Safety Officer in Chikkaballapura collected a sample of Shashi Iodine Crystal Salt from a store in Sidlaghatta. The Public Health Institution, Bengaluru, tested the sample and found 1.46% insolubility in water and no iodine content, prompting officials to initiate legal proceedings.

Conflicting Test Reports Lead to Legal Dispute

The petitioner, Satyaraj M, a nominee of Maharaja Industries, Davangere, contested the findings and sent the sample to TUV SCD South Asia Private Limited. This test showed 0.29% insolubility in water and an iodine content of 31.20%, contradicting the earlier report. However, a subsequent test at the Referral Food Laboratory, Kolkata, reaffirmed the lack of iodine and found 1.52% insolubility in water.

Company Challenges ₹3 Lakh Penalty

Maharaja Industries challenged the ₹3 lakh penalty imposed by the Deputy Commissioner of Chikkaballapura, arguing that the conflicting test results warranted the benefit of the doubt. The petitioner also claimed that Section 27 of the Act does not hold manufacturers or packers liable for misbranding. The High Court rejected this argument and clarified that Section 27(3) of the Act limits a seller’s liability for misbranding but does not exempt manufacturers or packers from responsibility.

Penalty to be Reassessed

Citing Section 49 of the Act, the court emphasized that authorities must consider factors like unfair gains or advantages when determining penalties. The court remanded the case to the Deputy Commissioner for a fresh review of the penalty amount. The court allowed Satyaraj M to submit five years of sales and turnover records to support a reassessment of the penalty.

Source: Deccan Herald