The deadlock between soft-drink major Coca Cola and the Maharashtra government over sugar stored in the former8217;s Khed warehouse may come to a conclusion in the next few days. The company was forbidden from using 3,549 tonnes of sugar stored in its Khed warehouse for its plant in Pirangut,50 km from Pune after the government8217;s citing of the Sugar Control Act and Essential Commodities Act.
Following an inspection in mid-July,the government had alleged that it had stocked excess sugar at its premises and thus had violated the Acts. This was followed by the district collectorate restricting Coca Cola from consuming the stock. We should arrive at a decision soon. We have issued a show cause notice to Coca Cola for violating the Sugar Control Act; they have replied. Our team is now scrutinising the reply, said R K Gaikwad,Additional Collector.
Coca Cola has denied the charge,saying the sugar was not for sale as it was marked for consumption at its Pirangut plant. In a statement,Coke said that it had already replied to the show cause notice.