# Bombay High Court Slams FDA Over Sweets Shop License Suspension And Orders Rs 5 Lakh Compensation

> The Bombay High Court has reprimanded the Maharashtra Food and Drug Administration for keeping a Pune sweet shop's license suspended despite 98 percent compliance, ordering a compensation of Rs 5 lakh.

**Type:** article · **Category:** Business · **Published:** 2026-08-17 · **Source:** TrendKia
**Canonical:** https://trendkia.com/en/business/bombay-high-court-slams-fda-over-sweets-shop-license-suspension-and-orders-rs-5-lakh-compensation-17661 · **Language:** English
**Tags:** Bombay High Court, FDA action, Pune sweet shop, food safety, compensation order, Maharashtra news

The Bombay High Court issued a sharp reprimand to the Maharashtra Food and Drug Administration (FDA) on Monday, ruling in favor of a sweet shop whose license remained suspended despite achieving high compliance. The court directed the regulatory body to pay 5 lakh rupees as compensation to the business owners following an arbitrary delay in restoring their operational status.

 

## Court Questions Excessive Strictness in Food Safety Enforcement
 During the proceedings, a bench comprising Acting Chief Justice Ravindra Ghuge and Justice Gautam Ankad described the approach of hotel and restaurant licensing policies as peculiar and distorted. While acknowledging that the intent behind food safety inspections is commendable, the bench noted that the authorities were exercising excessive strictness. The legal challenge was brought to the Bombay High Court by Gurunanak Dairy and Sweets from Pune, with the owner stating that the administrative action caused a revenue loss amounting to 8.74 lakh rupees.

 

## License Not Restored Despite High Compliance Levels
 The dispute originated on June 12 when an FDA food safety officer inspected the establishment following a food poisoning complaint. Concerns were raised regarding cleanliness and worker hygiene, leading to the immediate issuance of an order suspending the shop's license on the same day. In response, the proprietor appealed before the FDA Commissioner and submitted necessary compliance reports to rectify the flagged issues.

 

## Re-Inspection Revealed 98 Percent Adherence to Norms
 A subsequent inspection conducted on July 13 revealed that the dairy and sweets shop had achieved 98 percent compliance with safety rules, yet the authorities failed to reinstate the trade license. Left with no administrative remedy after their requests went unheeded, the owners approached the Food and Drug Administration (FDA) through legal counsel. The High Court has now permitted the business to resume operations while ordering the department to disburse the compensation within a month.

## What this means for you
**In Maharashtra:** Food business operators and merchants gain reassurance that courts will intervene against administrative delays and arbitrary license suspensions after compliance is met.,**For business owners:** This ruling establishes a strong precedent against excessive strictness by regulatory bodies during food safety inspections.

## Questions & Answers

### 1. Which agency did the Bombay High Court reprimand?
The Bombay High Court reprimanded the Maharashtra Food and Drug Administration (FDA).

### 2. How much compensation did the court order to be paid?
The court ordered the authorities to pay 5 lakh rupees as compensation to the shop owners.

### 3. Why was the shop's license suspended in the first place?
The license was suspended on June 12 following a food poisoning complaint and concerns regarding cleanliness and hygiene.

### 4. What compliance level was found during the re-inspection?
A re-inspection on July 13 revealed a 98 percent compliance rate with safety rules.

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