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Dhara mustard oil manufacturers fined Rs 2.4 cr for adultration

Deciding on a verdict for one of the oldest cases in the particular court after 19 years, Metropolitan Magistrate Ashu Garg imposed the fine in 12 cases with a fine of Rs 20 lakh each in individual cases.

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A Delhi court has imposed a fine of Rs 2.4 crore on National Dairy Development Board (NDDB) for manufacturing Dhara mustard oil which found to be adulterated leading to epidemic dropsy which left over 50 people dead and 3,000 people ill in the year 1998.

Deciding on a verdict for one of the oldest cases in the particular court after 19 years, Metropolitan Magistrate Ashu Garg imposed the fine in 12 cases with a fine of Rs 20 lakh each in individual cases.

Considered one of the most tragic cases, the Delhi oil poisoning had led to a massive crisis following which raids were conducted at several places in the capital. Samples of Dhara mustard oil were collected from various grocery shops and sent to the Public Analyst (PA) for inspection, which confirmed the presence of Argemone oil, an adulterant which can cause dropsy, glaucoma and even blindness in humans.

The matter was also taken up in the Lok Sabha in 2000, which led to the ban of loose sale of mustard oil to avoid more health hazards among the people.

In 12 separate judgments, the court held that "the manufacturing company would undoubtedly be the most responsible for the offence as the substantial burden was on it to ensure compliance of rules while processing and packing the food article which was being sold under a recognised brand name having specific goodwill on the basis of which the consumers expected the guaranteed policy".

Additionally, the court also imposed a fine of Rs 60 lakh on Gujarat Cooperative Milk Marketing Federation Ltd which was assigned for distributing the product.

"It has been proved that the accused 6 (NDDB) had manufactured/sold and accused no 4 (M/s. Gujarat Cooperative Milk Marketing Federation Ltd) had distributed an adulterated food in violation of sections 2(ia)(a) and (m) of Prevention of Food Adulteration Act (PFA) Act and have committed offence punishable under section 7/16(1)(a) of the PFA Act. The nominees of the respective companies would be liable under section 17 of the Act," the court said.

The samples were sent for examination for the second time by NDDB by moving an application under Section 13(2) of the PFA Act, thereby exercising the right to get the second counterpart of the sample analysed from the Central Food Laboratory (CFL).

However, the results in both the PA and the CFL came out to be similar and suggested the presence of agremone oil.

The counsel for NDDB had contended that agremone seeds look similar to mustard seeds and so traces of the poisonous seeds might have been mixed with the oil but it was not intentional. The contention was made while deciding on one of the cases, where the sample of mustard oil was picked up from a Departmental Store in Munirka.

However, the court acquitted the vendors involved in selling of the product giving them the benefit of the doubt.

Additionally, the court also awarded two years simple imprisonment to the nominee of the company, S Nagarajan, while imposing a fine of Rs 2 lakh on him.

Distributor

A fine of Rs 60 lakh, also, has been imposed on Gujarat Cooperative Milk Marketing Federation Ltd for distributing the product 
Counsel for NDDB had contended that agremone seeds look similar to mustard seeds and so traces of the poisonous seeds might have been mixed with the oil unintentionally.

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