It is one of India’s most recognisable rums, and for weeks, a regulatory fight over what is written on its label has kept it off shelves in Maharashtra. On Monday, the maker of Old Monk told the Bombay High Court how much it says that has cost.

What the company told the court

Mohan Rocky Springwater Pvt Ltd, which makes Old Monk at its unit in Thane district, told the court that the restrictions on sales from that unit have caused it losses of more than Rs 500 crore. It also said the Maharashtra State Excise Department has lost about Rs 350 crore in revenue, and that around 300 workers have been left idle.

Senior advocate Venkatesh Dhond, appearing for the company, also argued that Old Monk continues to be sold in other states despite the curbs in Maharashtra. A division bench of Chief Justice Mahesh Chandra Tripathi and Justice Advait Sethna heard the matter.

These figures are the company’s own submissions, and the court has not examined or ruled on them.

Why Old Monk is banned from sales

The dispute stems from a prohibition order issued by the Food Safety and Standards Authority of India (FSSAI) in August. The order bars the sale of certain whisky and rum variants, including Old Monk, over concerns about added flavouring and labelling, and it followed an inspection of the company’s plant in Maharashtra.

The regulator has objected to added rum flavouring and to age claims on the bottle, such as “7 years old blended”.

The label compromise that didn’t work

The company has tried to meet the regulator part of the way. After the High Court earlier refused to grant an interim stay on the prohibition, it offered revised labels that dropped the disputed age descriptions and prominently disclosed “added flavour”. The regulator did not approve them.

FSSAI’s side was put by Additional Solicitor General Anil Singh, who told the court that sales would be allowed only if the company accepts the proposed labelling change, which would describe the product as “rum-like” and not rum.

What this means for Maharashtra

The Rs 350 crore number is a claim about state revenue, and the broader point is that a labelling dispute is now being argued in terms of public finances and jobs. The company says about 300 workers are idle in Thane. The Maharashtra government has not, in anything we have seen, confirmed the revenue figure. Other brands are also affected by the same regulatory action, according to one report.

What the court has and hasn’t decided.

The High Court has not decided the underlying question of whether the product can be described as rum, or whether the prohibition is valid. It earlier declined an interim stay, so the restrictions remain in place while the case continues.

What happens next

The matter returns to the Bombay High Court on 23 October. We will update this article with the outcome and any statement from FSSAI, the company or the Maharashtra government.

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