Vishal Mega Mart Limited’s subsidiary, Airplaza Retail Holdings Private Limited, has been issued an order by the Court of Additional District Magistrate, Rampur. The order involves a total penalty of Rs. 2,00,000 resulting from a quality inspection of a food product. The company has clarified that the financial impact is limited to the penalty amount and noted that it plans to recover these costs from the third-party manufacturer involved.
Background of the Penalty
The regulatory action follows a quality inspection conducted on April 03, 2025, by the Food Safety Officer at the subsidiary’s retail store in Rampur. During this routine check, a sample of ‘Turmeric Powder’ was collected for analysis. Subsequent lab results indicated that the sample did not conform to the standards mandated by the Food Safety and Standards Act, 2006.
Breakdown of Financial Impact
Following the inspection, the Food Safety Officer initiated legal proceedings, resulting in a total penalty of Rs. 2,00,000. This amount is comprised of a Rs. 80,000 fine imposed on the Store Manager and a Rs. 1,20,000 penalty levied directly against the subsidiary. The order was received by the company on May 05, 2026.
Operational Outlook
Management has confirmed that this order has no material impact on the company’s broader operations or financial activities. Because the item in question was produced by a third party, the company intends to recover the full penalty amount from the concerned manufacturer. The subsidiary is currently reviewing the judicial order and evaluating potential next steps regarding the decision.
Source: BSE