Centre mum on who should fine MRP violations

​Hyderabad: Who should levy fines on hotels selling packaged products over and above MRP (maximum retail price) remains an unsolved question. Is it the Centre or the state?

The Union government is yet to file a counter to the Supreme Court’s direction, which it gave while dealing with the issue of levying of fines by the State government’s Legal Metrology department on December 12, 2017.

Even as the financial year comes to an end, the Director of Legal Metrology (Centre) is yet to file a reply as the Director appears to be still doing homework. It is now more than three months, since the Supreme Court has asked for the Centre’s counter on the contention of the Federation of Hotel and Restaurant Associations of India (FHRAI).

The Association had appealed in the Apex Court questioning the purview of State governments in levying penalty over selling of packaged goods particularly ‘water’ at exorbitant prices, undermining the MRP mentioned over it. It may be mentioned here that Legal Metrology department of Telangana has booked more than 1,000 cases against the hotels selling the water bottles in excess of MRP, based on the complaints it received in the year end of 2017. However, they had to stop these ‘special drives’, in the wake of Supreme Court’s direction.

“In view of Supreme Court’s direction, we had to stop these special drives, as legality of state’s power to levy fines is to be decided. Following this development, the Director of Legal Metrology (Union Government) has to take the call. They should have filed the counter to these Hotel Association’s petition,” said Assistant Controller of Legal Metrology, Telangana, K Siddartha Kumar.

Responding to the queries from The Hans India, Ashutosh Agarwal, Assistant Director, Legal Metrology for Director of Legal Metrology said that the (Union) government was exploring legal options on this case. “We shall be taking up the matter soon,” said the official.