Bombay High Court warns Maharashtra of liability if hookah seizures deemed illegal

In January, authorities carried out a 24-hour operation at Soex India's manufacturing unit in Pune district, seizing raw tobacco, scented tobacco and shisha flavours valued at around 31.67 crore.

The Bombay High Court has cautioned the Maharashtra government that it may be liable to compensate two hookah tobacco manufacturers if the seizure of their export consignments is ultimately held to be illegal.

A bench of Justices Ravindra V Ghuge and Abhay J Mantri made the observation while hearing petitions filed by Soex India Private Ltd and High Street Impex LLP challenging the confiscation of their products by the state Food and Drug Administration (FDA).

During open court proceedings, the judges warned, "if the losses are caused, and we conclude that you are wrong, then the government will pay damages. We have pre-empted you in open court".

The dispute stems from raids conducted by the FDA at the companies' facilities in Pune and Thane districts. In early January, the FDA carried out a 24-hour operation at Soex India’s manufacturing unit in Takve Budruk, Pune district, seizing raw tobacco, scented tobacco and shisha flavours valued at around 31.67 crore.

Officials claimed the products were banned under existing regulations and tested positive for nicotine, allegedly violating a prohibitory order issued on July 16, 2025.

In a separate action on December 30, 2025, the FDA seized banned hookah products worth 19.45 crore from High Street Impex’s warehouse in Dapode, Bhiwandi. Criminal cases have been registered in both matters.