Coca-Cola Refuses Conditional License, Challenges Village Council Power
The Hindu
June 10, 2005

Palakkad: Hindustan Coca-Cola Beverages Private Limited at Plachimada has rejected the three-month conditional licence issued by the Perumatty Grama Panchayat describing it as a violation of the High Court order.

The company, in its letter to the panchayat on Wednesday, said that "the grant of licence for a period of three months is arbitrary and in violation of High Court order of April 7, 2005 and as further clarified on June 1, 2005. It is a step once again taken by the Panchayat in total disregard of the Rule of Law and also the judicial determination.''

The company has also filed another application for licence for two years. The 13 conditions mentioned in the panchayat order were "well outside the powers entrusted to the Panchayat under the Panchayati Raj legislation for governance within the geographical boundaries."

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