The Supreme Court has revived class action suit against Nestle initiated by the National Consumer Disputes Redressal Commission (NCDRC), directing the body to hear the complaint filed by the government.
A bench headed by Justice D Y Chandrachud said the report of CFTRI (Central Food Technological Research Institute, Mysuru), where the testing of the samples of Maggi were done, will form the basis for the proceedings.
The Consumer Affairs Ministry had earlier filed a complaint at the National Consumer Disputes Redressal Commission (NCDRC) under Section 12 (1)(d) of the Consumer Protection Act, 1986, seeking damages worth Rs 640 crore.
The ministry had filed the complaint on behalf of consumers claiming unfair trade practices, sale of defective goods and sale of 'Maggi Oats Noodles' without product approval.
However, the top court had stayed the proceedings before the NCDRC after Nestle challenged it.
Nestle India on Thursday welcomed the order passed by the Supreme Court.
The company had challenged two interim orders of NCDRC before the Supreme Court in 2015, Nestle said, adding that as per directions of the court, samples were sent to Central Food Technological Research Institute (CFTRI) and the analysis results showed that samples were compliant for Lead and other relevant parameters.
"As per the lawyers who appeared for Nestle, the Supreme court in view of reports received from CFTRI, has agreed with Nestlé’s contention and has set aside both the interim orders passed by NCDRC which were challenged by Nestle. The Supreme Court has also directed that the reports received from CFTRI will be the basis for proceedings before NCDRC. Full details will be known only after receipt of the order by the Company," the company said.
Maggi was banned by FSSAI in June 2015 for allegedly containing lead beyond permissible limits, forcing Nestle India to withdraw product from the market. However, following legal battles, the popular noodles brand was back in the market in November 2015.
Nestle, on the other hand, has claimed that a Mysore lab report suggested that the lead was within the permissible limits. The company claimed that the lab was unable to identify if Monosodium glutamate (MSG) occurred naturally or was added.
(With inputs from PTI)