Nestle India on Wednesday told the National Consumer Disputes Redressal Commission that it was being ‘singled out’ by the government in the case of ban on Maggi noodles as no action was being taken against other manufacturers of similar products.
Unfair trade practices The company also sought to recall an earlier Order of the Commission by which it had admitted government’s Rs.640 crore suit against the noodles manufacturer for alleged unfair trade practices and other charges, citing the Bombay High Court order setting aside the countrywide ban on Maggi.
A bench, headed by Justice V.K. Jain, issued notice to the government on the company’s plea and sought response by October 8. It also issued notice to Nestle on a separate plea filed by the government seeking further testing of Maggi noodles.
The company opposed the government’s suit saying that due to the ban, around 9,000 vendors and 10,000 suppliers were rendered unemployed and it had suffered a loss of nearly Rs.250 crore.
“It has caused a huge damage to our reputation...to the extent that my competitors are making fun of me (company). While my product has been banned, government is not taking any action against any manufacturer of similar products...I am being singled out,” senior advocate Arvind Nigam said on behalf of the company.
On August 17, NCDRC had issued notice to Nestle on the government’s suit to which the company had to reply today. However, the company failed to reply to the notice claiming that it has not received complete documents from the government to which it had to file its reply.
The commission has now asked Nestle to respond to Rs.640 crore suit by the next date of hearing on October 8.
In its petition, Department of Consumer Affairs has said that Nestle India had “indulged in unfair trade practices by false labelling of Maggi noodles in as much as it states ‘No added MSG’ prominently on packet, despite presence of MSG.”
