By IANS
New Delhi/Palakkad (Kerala) : A village panchayat in Kerala lost a legal battle against Pepsi Monday as the Supreme Court quashed a panchayat order cancelling the license of the soft drink major’s bottling plant in Palakkad district.
The Pudussery village panchayat in 2003 cancelled Pepsi’s license as it was operating a bottling plant in Kanjikode – a drought-prone area. Kanjikode is 160 km from Kochi.
The pancahyat justified the move on the ground that the plant was depleting ground water in the area.
After the Supreme Court ruling, the panchayat, however, said it will continue its fight.
“The company has a very arrogant attitude. We can’t allow them a free run, ignoring the sentiments of the people here,” panchayat president K. Suresh told IANS after the ruling.
“We will take further steps in this matter after consulting legal experts and the state government,” he added.
“The judgment says that the panchayat can’t cancel the license of a company functioning in industrial area. But it does not say who can take action against the company,” Suresh said.
The Pudussery panchayat took its case to the apex court after the Kerala High Court quashed its cancellation order in April 2007.