After initially suspending Subhiksha’s warehouse licence for 10 days, Maharashtra’s Food and Drug Administration (FDA) has increased the suspension period of the retail chain to 20 days, beginning August 20.
The Chennai-based retailer came under the FDA scanner after the regulator’s inspectors raised concerns on hygiene and the repackaging of goods at its warehouse in Bhiwandi in Maharashtra.
In its recent order, the FDA had dismissed the retailer’s appeal and instead increased the period of suspension of licence of its two trading firms. According to an FDA official, five firms were operating at the location, and the licences of three packaging firms have been cancelled.
R Subramanian, MD, Subhiksha said that the company will appeal the FDA decision at the High Court. The retailer has said that it was being targetted, indicating that business rivals were involved in turning the heat on them.
“It is quite obvious that the orders have not been passed in the normal course and seem to be done to please certain vested interests who have been attempting to sully our reputation,” Subramanian stated.