Wattle Health launches legal action against Indian importer

Wattle Health launches legal action against Indian importer

Organic infant food producer Wattle Health (ASX: WHA) has initiated legal action against an Indian importer for money owed.

Wattle Health alleges baby food importer Vasudevan and Sons Exim Private (VSEP) has not provided the full bank guarantee to Wattle Health as required under a supply agreement.

The pair entered into a supply agreement for Wattle Health's natural baby food range in September 2018.

Wattle Health has developed packaging for the product and submitted product registration since then.

The product registration has been completed in India and as a consequence Wattle Health has demanded VSEP provide its bank guarantee.

"Despite the company's request, VSEP has not yet provided the full amount of the bank guarantee and VSEP is in breach of the VSEP supply agreement," says Wattle Health.

Wattle Health has thus commenced legal action in India against VSEP to recover losses.

The Australian company has already received a deposit of $100,000 from VSEP in December 2018, which is not refundable.

Never miss a news update, subscribe here. Follow us on Facebook, LinkedIn, Instagram and Twitter.

Business News Australia

Help us deliver quality journalism to you.
As a free and independent news site providing daily updates
during a period of unprecedented challenges for businesses everywhere
we call on your support

From pandemic side hustle to multi-million dollar business: Meet Ling Fung
Partner Content
Ask any parent, and they’ll tell you: preparing for a new baby is no easy task.&n...
Metro Baby
Advertisement

Related Stories

ACCC gives Compare the Market operator green light for iSelect takeover

ACCC gives Compare the Market operator green light for iSelect takeover

The Australian Competition & Consumer Commission (ACCC) has ann...

Sales software group Bigtincan receives $442m takeover offer from SQN

Sales software group Bigtincan receives $442m takeover offer from SQN

Sales performance software company Bigtincan (ASX: BTH) has been on...

How Sourci made it: Meet the founders behind Australia’s new e-commerce wave

How Sourci made it: Meet the founders behind Australia’s new e-commerce wave

In just four short years the co-founders of product development con...

Competition watchdog sniffs at Cochlear-Oticon acquisition

Competition watchdog sniffs at Cochlear-Oticon acquisition

The management at Cochlear (ASX: COH) are hoping to add an extra 75...