Pune: Supreme Court Cancels ₹5 Lakh Compensation Order in Gurunanak Dairy Case

Court upholds FDA action against Pune dairy establishment, says inspection and licence suspension were carried out in public interest
Pune: Supreme Court Cancels ₹5 Lakh Compensation Order in Gurunanak Dairy Case
Pune: Supreme Court Cancels ₹5 Lakh Compensation Order in Gurunanak Dairy CaseThe Bridge Chronicle
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Pune, 6th October 2026: The Supreme Court has cancelled the Bombay High Court’s order directing the Food and Drug Administration (FDA) to pay ₹5 lakh in compensation to Gurunanak Dairy and Sweets in Pune. The apex court upheld the FDA’s action against the establishment, saying it was taken in accordance with the law and in the interest of public health.

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The FDA inspected Gurunanak Dairy and Sweets in the Wadgaon Sheri area on June 12 following a complaint of food poisoning. During the inspection, officials found shortcomings related to hygiene, record maintenance and product labelling. The administration subsequently suspended the establishment’s food licence.

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The dairy operator challenged the action before the Bombay High Court. On August 17, the High Court lifted the licence suspension and also directed the administration to pay ₹5 lakh in compensation for the business losses suffered during the action.

The Maharashtra government challenged the compensation order before the Supreme Court. During the hearing, the government submitted that a sample of the establishment’s malai peda had been found unsafe, making regulatory action necessary to protect public health.

The government also told the court that the FDA had not deliberately delayed the process. A reinspection was conducted within four days of receiving the compliance report.

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The Supreme Court accepted the state government’s arguments and set aside the High Court’s direction to pay compensation. The court held that the FDA had acted lawfully and in good faith while carrying out its food safety responsibilities.

The ruling reinforces the authority of food safety officials to take action in the public interest under the Food Safety and Standards Act, 2006, when violations or unsafe food products are found.

The FDA has appealed to citizens to report complaints related to food quality and safety through its toll-free helpline 1800 222 365.

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