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India seeks $99 million in damages from Nestle after food scare
The tests also detected the chemical flavour enhancer monosodium glutamate, or MSG, which is not mentioned in the product’s list of ingredients.
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“Justifying the steep damage claimed, the department has referred to studies to show how the popular snack posed greater threat to children and pregnant women due to high level of lead and MSG contents”.
The “modest” figure of Rs.
Class action involves filing of a suit on behalf of a large group of people.
The Department had taken opinion of the Law Ministry and got the matter vetted by legal experts.
Nestle dominates the noodle market in the world’s second-most populous country, with a 63 per cent share in 2014, six times as much as its nearest rival ITC, according to Euromonitor data.
On Tuesday, Himanshu Manglik, a Nestle India spokesman, said he had no information about the government’s decision to seek damages.
Several celebrities have endorsed Maggi over the years, including Bollywood superstar Amitabh Bachchan.
“The document on the Maggi issue has been cleared by the Minister”. The Consumer Affairs Ministry Additional Secretary G Gurucharan says “brand ambassadors would be liable for action if advertisements are found to be misleading”. The corporate introduced it won’t converse of the lawsuit, made by the Indian authorities on behalf of shoppers, instantly till it receives an official discover concerning the grievance from India’s Nationwide Shopper Disputes Redressal Fee. Subsequently, a few states decided to ban the noodles.
Nestle emphasized that laboratories in India and other countries tested more than 2,700 samples of Maggi noodles in recent months and found that the level of lead is “far below permissible limits”.
The move comes even as Nestlé continues to stand by its claim that Maggi products produced in India are safe.
Besides damages, the Department has also sought recall of all defective and hazardous goods with respect to Maggi noodles with tastemaker in all its variants and Maggi oats masal noodles with tastemaker.
State-owned retail outlets in Kerala and Delhi have banned the sale of Maggi. It has reserved its order, but has suggested that samples of Maggi noodles be re-tested.
Reuters reported in June that the government had filed for damages from Nestle.
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FSSAI had also banned Maggi instant noodles, saying that it was unsafe for consumption.