FDC Limited has received an interim stay from the Delhi High Court regarding a notice from the FSSAI concerning the seizure of its stock. The court has granted the company eight months to exhaust its existing stock of ‘electrolyte’ products and to implement necessary label changes. This development is not expected to have a material adverse impact on FDC’s financials or operations.
Court Grants Relief on FSSAI Stock Seizure
FDC Limited announced today that the Hon’ble High Court of Delhi has granted an interim stay on a notice issued by the FSSAI, New Delhi, concerning the seizure of the company’s stock. This legal reprieve comes after FDC filed a Writ Petition seeking relief.
Extended Time for Compliance
The High Court’s order allows FDC Limited a period of eight months to sell its existing stock that bears the descriptors ‘electrolyte’ or ‘electrolyte drink’. During this time, the company is also permitted to make the required changes to the product labels. This ruling provides FDC with a crucial window to manage its inventory and adapt to regulatory requirements without immediate disruption.
No Material Financial Impact
FDC Limited has stated that this interim order and the preceding FSSAI action are not anticipated to have any material adverse impact on the company’s financials, operations, or other business activities. The company is committed to complying with the court’s directives and industry regulations.
Source: BSE
