HC orders FDA to pay candy seller for not lifting suspension despite compliance

MUMBAI: The Bombay high court on Monday ordered the Food and Drug Administration (FDA) to pay a Pune-based dairy and sweets retailer Rs 5 lakh for “losses” for not revoking the suspension of its food license despite 98% compliance.Acting Chief Justice Ravindra Ghuge and Justice Gautam Ankhad also “immediately” set aside the June 12 stay order and granted M/s Gurunanak Dairy and Sweets “freedom to restart the retail business of dairy products and sweets”.Wadgaon-based retailer Sheri’s license was suspended following a food poisoning incident on June 12. According to the petition, on June 12 the FDA suspended his food license and ordered his business closed without notice of improvement or hearing. On July 13, after a new inspection by the Food Safety Officer, 98% compliance was achieved. However, the suspension order remained in force. Therefore, on July 15, an appeal was filed with the FDA commissioner. As the appeal had not been resolved and was causing difficulties to the petitioner and its workers, the retailer approached the HC.His advocate Abhijeet Desai claimed that despite all loopholes being removed and compliance being followed, the suspension order was not revoked. He cited a similar case from another Pune establishment, Pind Punjab, where the HC ruled on July 16 that the earlier suspension order was quashed after a fresh inspection confirmed 100% compliance with safety norms. The judges said they had previously noted that the FDA’s intent is “laudable” and that “at least some department has held firm.“But you are going overboard. You should have immediately revoked the license suspension once you noted 98% compliance,” Judge Ghuge said.The State’s counsel said the petitioner’s appeal was pending before the commissioner and was closed in order on August 11. But the judges said it was “pure and simple perversity” and a “bizarre” policy. They said that once the FDA recorded 98% compliance, “you say, now go and file an appeal.” “What is this? Torturing citizens,” said Judge Ghuge. The judges also asked Desai what the shop’s daily income was. He replied that it was approximately Rs 25,000 per day. Desai said that since the date of compliance, it has been 34 days and a loss of Rs 8.5 lakh.In the order, the judges noted that the state’s presentation was “unconvincing” and that the processing of the appeal was not an impediment to revoking the retailer’s license. “The petitioner who obtained 98% compliance should have obtained an order immediately revoking the suspension order. The poor excuse that an appeal is pending should not have been made,” they added.Considering that the FDA compliance report dealt with aspects like cleanliness, hygiene, maintenance and sanitation in which the petitioner had scored 98%, the judges found it appropriate to order the FDA to pay Rs 5 lakh” as compensation for the losses. They further ordered the FDA to deposit the amount in the court within 30 days and also allowed the petitioner the freedom to withdraw the amount.