Kerala HC reserves orders on Cola majors

Counsel for petitioners say the state government has no powers to impose a ban on the manufacture and sale of soft drinks.

india Updated: Sep 12, 2006 21:31 IST

The Kerala High Courton Tuesdayreserved orders on two petitions filed by soft drink majors Coca Cola and Pepsi, challenging the Kerala government's ban on the manufacture and sale of their products.

A Division Bench,comprising Chief Justice VK Bali and Justice M Ramachandran, posted the case for orders after an elaborate two-day sitting.

Counsel for the petitioners - Hindustan Coca Cola Beverages Ltd and Pepsi India Holding Private Ltd -reiterated that the state government had no power to impose a ban on the manufacture and sale of Coca Cola and Pepsi.

Meanwhile, Perumatty Panchayat, where the Coca Cola plant is located, on Tuesdayimpleaded itself in the case. The panchayat defended the governmentduringthe hearing.

Earlier, the panchayat in Kerala's Palakaad district, had taken steps to stop the manufacture of the soft drink.

It had also refused to renew the license of Coca Cola alleging that its softdrinks contained cadmium which was harmful.

However, the company approached the court, following which the panchayat was directed to renew the license.

First Published: Sep 12, 2006 19:31 IST