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Nestle sued for Rs 639 crore after BAN!
By: Tupaki Desk | 12 Aug 2015 5:21 AM GMT
Troubles for Nestle, the Swiss manufacturer of Maggi noodles, after the food regulator of Uttar Pradesh found high lead content and mono sodium glutamate in the product. Since then, As many as 11 States have banned instant Maggi noodles and Nestle destroyed over Rs 300 crore worth packets after recalling them from retailers.
Now, The Government filed a class action suit against Nestle seeking Rs 639 crore in damages for illegal trade practices such as false labelling and misleading ads. A case has been filed in this regard with NCDRC under Section 12 (1D) of the Consumer Protection Act. Main charge against the Maggi noodles is that the company marketed it saying this tasty product is healthy for children and even the presence of MSG wasn't labelled on the packets.
In case if Government wins the case, Nestle has to pay the said amount and it will be transferred to the Consumer Welfare Fund. The Consumer Affairs Department will be using it for the welfare of consumers.
Now, The Government filed a class action suit against Nestle seeking Rs 639 crore in damages for illegal trade practices such as false labelling and misleading ads. A case has been filed in this regard with NCDRC under Section 12 (1D) of the Consumer Protection Act. Main charge against the Maggi noodles is that the company marketed it saying this tasty product is healthy for children and even the presence of MSG wasn't labelled on the packets.
In case if Government wins the case, Nestle has to pay the said amount and it will be transferred to the Consumer Welfare Fund. The Consumer Affairs Department will be using it for the welfare of consumers.
