Supreme Court seeks P&G officials reply on plea quashing FIR against them

NEW DELHI: Supreme Court has sought response from top officials of multinational firm Procter and Gamble on a plea challenging a Himachal Pradesh High Court order quashing FIR against them in a case of alleged wrongful termination of production contract and cheating.

A bench, comprising justices Vikramajit Sen and C Nagappan, on January 9 issued notice on the appeal filed by a Delhi- based company JHS Svendgaard Laboratories Ltd. which had alleged that Procter & Gamble Home Products Ltd (P&G) has wrongfully terminated its production contract, due to which it has suffered a loss of Rs 714 crore.

"Issue notice to the unserved respondents returnable within six weeks," the bench said, while taking on record that the notice against P&G Indian unit managing director Shantanu Maharaj Khosla was accepted by his counsel.

During the hearing senior advocate A M Singhvi, appearing for P&G, submitted that there has been vital suppression of facts in as much as events after March 26, 2010 and before June 17, 2013, which have not been mentioned by the complainant, JHS Svendgaard Laboratories Ltd.

The bench however granted liberty to both the parties to file counter or documents, if any, before the next date of hearing.

The Delhi based company had approached the apex court seeking setting aside of the Himachal Pradesh High Court order by which it had quashed the FIR lodged at Kala Amb police station of the state against P&G officials.

The petitioner has alleged that P&G had signed agreements with it in 2009-10 to manufacture toothbrush, toothpastes and detergent under its brand Oral B and Tide, but wrongfully terminated its production contract.