‘Absolute strange policies’: Bombay HC to FDA over ₹5 lakh fine on Pune sweet shop, license suspension
The shop's licence was suspended on June 12 following an inspection that identified deficiencies related to hygiene and sanitation
- Aug 18, 2026,
- Updated Aug 18, 2026 1:11 PM IST
The Bombay High Court has directed the Maharashtra Food and Drug Administration (FDA) to pay ₹5 lakh to a Pune-based sweet shop after questioning why its food licence remained suspended despite the establishment achieving 98 per cent compliance with safety and hygiene requirements.
According to ANI, the court set aside the continued suspension of the licence and allowed Gurunanak Dairy and Sweets to resume operations. The FDA has been directed to pay the compensation within 30 days.
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Licence suspended over hygiene concerns
The shop's licence was suspended on June 12 following an inspection that identified deficiencies related to hygiene and sanitation. The business subsequently submitted a compliance report and challenged the suspension before the authorities. A re-inspection conducted on July 13 found the establishment compliant with 35 out of 36 parameters, translating into a compliance score of 98 per cent. Despite the improved inspection report, the licence was not restored.
The shop remained shut for nearly 34 days. During the hearing, its lawyer told the court that the closure had resulted in significant revenue losses, with reports putting the claimed loss at around ₹ 8.5 lakh.
Bombay HC Questions FDA's Decision
A division bench comprising Acting Chief Justice Ravindra V. Ghuge and Justice Gautam A. Ankhad questioned the FDA's decision to continue the suspension even after the establishment had substantially addressed the deficiencies.
As reported by ANI, the court observed that the FDA's objective of enforcing food safety standards was important, but the authority had gone beyond what was warranted in the circumstances. The bench said, “This is harassment”, while questioning the continued closure despite the 98 per cent compliance finding.
The court also criticised the FDA's argument that the suspension could not be revoked while an appeal was pending before the FDA Commissioner. The bench questioned why a business that had cleared almost all the required safety parameters should continue to remain shut.
“Absolute strange policies,” the court remarked, according to ANI, questioning the rationale behind continuing the suspension after the re-inspection had found the shop substantially compliant.
ALSO READ: After FSSAI's alcohol flavouring rules, Diageo reformulates whisky, rum brands
Court allows shop to resume operations
The High Court ultimately quashed the continued suspension of the food licence and permitted Gurunanak Dairy and Sweets to restart its business. It also directed the Maharashtra FDA to pay ₹5 lakh in compensation within 30 days. The ruling underlines the need for regulatory authorities to enforce food safety standards while also ensuring that businesses that rectify violations are not subjected to prolonged restrictions without adequate justification.
The development comes amid intensified food-safety inspections by the Maharashtra FDA. On August 13, the department inspected 86 establishments selling food through online delivery platforms, issued 60 improvement notices, and suspended 14 food business licences.
The Bombay High Court has directed the Maharashtra Food and Drug Administration (FDA) to pay ₹5 lakh to a Pune-based sweet shop after questioning why its food licence remained suspended despite the establishment achieving 98 per cent compliance with safety and hygiene requirements.
According to ANI, the court set aside the continued suspension of the licence and allowed Gurunanak Dairy and Sweets to resume operations. The FDA has been directed to pay the compensation within 30 days.
READ THIS: Shah Rukh Khan, Ajay Devgn, Tiger Shroff face Maharashtra FDA action over Vimal ad
Licence suspended over hygiene concerns
The shop's licence was suspended on June 12 following an inspection that identified deficiencies related to hygiene and sanitation. The business subsequently submitted a compliance report and challenged the suspension before the authorities. A re-inspection conducted on July 13 found the establishment compliant with 35 out of 36 parameters, translating into a compliance score of 98 per cent. Despite the improved inspection report, the licence was not restored.
The shop remained shut for nearly 34 days. During the hearing, its lawyer told the court that the closure had resulted in significant revenue losses, with reports putting the claimed loss at around ₹ 8.5 lakh.
Bombay HC Questions FDA's Decision
A division bench comprising Acting Chief Justice Ravindra V. Ghuge and Justice Gautam A. Ankhad questioned the FDA's decision to continue the suspension even after the establishment had substantially addressed the deficiencies.
As reported by ANI, the court observed that the FDA's objective of enforcing food safety standards was important, but the authority had gone beyond what was warranted in the circumstances. The bench said, “This is harassment”, while questioning the continued closure despite the 98 per cent compliance finding.
The court also criticised the FDA's argument that the suspension could not be revoked while an appeal was pending before the FDA Commissioner. The bench questioned why a business that had cleared almost all the required safety parameters should continue to remain shut.
“Absolute strange policies,” the court remarked, according to ANI, questioning the rationale behind continuing the suspension after the re-inspection had found the shop substantially compliant.
ALSO READ: After FSSAI's alcohol flavouring rules, Diageo reformulates whisky, rum brands
Court allows shop to resume operations
The High Court ultimately quashed the continued suspension of the food licence and permitted Gurunanak Dairy and Sweets to restart its business. It also directed the Maharashtra FDA to pay ₹5 lakh in compensation within 30 days. The ruling underlines the need for regulatory authorities to enforce food safety standards while also ensuring that businesses that rectify violations are not subjected to prolonged restrictions without adequate justification.
The development comes amid intensified food-safety inspections by the Maharashtra FDA. On August 13, the department inspected 86 establishments selling food through online delivery platforms, issued 60 improvement notices, and suspended 14 food business licences.