Delhi High Court Seeks FSSAI Reply on Plea Over Fortune Soyabean Oil Action
The Delhi High Court has sought responses from the Centre and the Food Safety and Standards Authority of India (FSSAI) on a petition challenging regulatory action that prohibited the manufacture and sale of ‘Fortune Soya Health Refined Soyabean Oil’ over alleged misleading label claims.
Justice Swarana Kanta Sharma issued notice to the Ministry of Health and Family Welfare, FSSAI, and other authorities, directing them to submit their responses within four weeks. The court listed the matter for its next hearing on November 5.
The petition was filed by AWL Agri Business Ltd., which challenged the regulator's action regarding two specific claims displayed on the product's packaging: “100% Veg” and “Cholesterol Free – For Healthy Lifestyle”.
Opposing the plea, authorities contended that no part of the cause of action had arisen in Delhi, arguing that the company was based in Gujarat and that the edible oil was manufactured and marketed from outside the Capital.
The court rejected this contention in an order passed on Monday, August 31, noting that the primary actions challenged in the petition had been initiated by FSSAI within Delhi.
Justice Sharma observed that because FSSAI is situated within the territorial jurisdiction of the high court, the authorities against whom the writ reliefs are sought are amenable to its jurisdiction.
According to the petition, FSSAI issued a show-cause notice to the company on July 17, alleging violations of the Food Safety and Standards (Advertising and Claims) Regulations, 2018, and the Food Safety and Standards (Labelling and Display) Regulations, 2020.
On the same date, FSSAI sent a communication directing food safety commissioners across all States and Union Territories to ensure that products deemed non-compliant were not manufactured, distributed, marketed, or sold within their jurisdictions.
The petitioner submitted that the directive effectively classified its soyabean oil as a non-compliant product, exposing its distributors, stockists, wholesalers, and retailers to nationwide enforcement measures. The company stated that food safety officers visited distributor premises in August to halt sales, leading retailers to decline fresh orders and distributors to return existing stocks.
