Airplaza Retail Holdings Private Limited, a subsidiary of Vishal Mega Mart Limited, has been penalized with ₹1 lakh for violating food safety regulations. The order was issued by the court of the Additional District Magistrate, Ghaziabad, following an inspection and subsequent findings related to a food product.
The penalty was imposed after a Food Safety Officer's inspection on February 7, 2023, revealed that a sampled product, "First Crop Vermicelli," did not comply with the relevant legal provisions. Consequently, a complaint was filed with the Additional District Magistrate, Ghaziabad, leading to the penalty under the Food Safety and Standards Act, 2006.
Vishal Mega Mart Limited disclosed this regulatory action under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
The company stated that while the penalty's financial impact is limited to ₹1 lakh, it will seek recovery from the concerned manufacturer, as the product is manufactured by a third party. The subsidiary is currently reviewing the order and assessing its next steps.
The details of the regulatory action are as follows:
| Particulars | Details |
|---|---|
| Name of Authority | Court of the Additional District Magistrate, Ghaziabad |
| Nature and details of the action(s) taken | Penalty imposed of ₹1,00,000 |
| Date of receipt of direction or order | September 03, 2025 |
| Details of the violation(s)/ contravention(s) committed or alleged to be committed | On February 07, 2023, the Food Safety Officer conducted an inspection of the Subsidiary's Store. During the course of the inspection, the Officer collected samples of various food products stored at the premises. Upon analysis, it was found that one of the sampled products "First Crop Vermicelli" was not in the confirmation of the relevant provision of the Laws. |
| Impact on financial, operation or other activities of the listed entity | The financial impact of the aforesaid order is to the extent of the penalty imposed. There is no material impact on operations or other activities of the Company due to the said order. Since it is a third party Manufactured product, the penalty amount will be recovered from the concerned Manufacturer. |
Subsidiary is reviewing the Order and evaluating next steps.
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