Supreme Court dismisses petition against FDI in multi-brand retail

The Supreme Court on Wednesday upheld the government's policy of allowing foreign direct investment (FDI) in multi-brand retail, holding that as a policy, it did not suffer from any constitutional or statutory infirmity.

The policy was challenged by advocate M.L. Sharma who had contended that FDI in multi-brand retail was introduced by issuing two press notes, without amending relevant provisions and rules regulating FDI in retail.

The apex court bench headed by Justice R.M. Lodha, while dismissing the petition on Wednesday, said: "On matters affecting policy, this court does not interfere unless the policy is unconstitutional, contrary to statutory provisions, arbitrary, irrational, or in abuse of power."

Having said this, the court said the impugned policy did not suffer from any vires, and there was no merit in the challenge to it.