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New
York: Hemant Mehta, a New York resident has sued Cadbury Schweppes Plc, accusing
the company of misllabeling certain products, including its Snapple juice and
tea drinks, as "all natural" when they were not. Mehta,
who wants the suit to become a class action complaint, says that the drinks contained
high fructose corn syrup (HFCS) and "other non-natural products," according
to the suit filed in Manhattan federal court. "HFCS
does not exist in nature and is not ''minimally processed,"'' the complaint
said. "Describing HFCS as an ''all natural'' ingredient is deceptive and unfair
to consumers and competitors." He
has also accused the company of misleading consumers about the main ingredients
in juice and tea drinks. Mehta
is seeking to represent all people who bought certain Cadbury Schweppes and Snapple
drinks over the last six years, and wants damages of at least $100 million on
their behalf.
The
Tata Group () and Coca Cola ()are both
said to be interested in acquiring the brand.
The
case comes amidst a possible bid by soft drink major
Coca-Cola Co. for Cadbury''s Snapple iced tea brand.
Cadbury Schweppes said in March that it planned to split
itself in two, separating its confectionery and soft
drinks businesses, as it apparently bowed to pressure
from investors led by US billionaire Nelson Peltz.
Coca-Cola has been working to expand its non-carbonated
beverage portfolio, as more customers migrate to buying
juice, tea and bottled water.
Last month, it completed its $4.1 billion acquisition
of Glaceau, maker of Vitaminwater, also known as Energy
Brands.
Atlanta-based Coca-Cola approached some private equity
funds that have reportedly been involved in bidding
for Cadbury''s US drinks business, which includes the
Snapple brand, reports said.
also see : Tata
eyeing Cadbury`s Snapple Coke
weighing Cadbury's Snapple acquisition
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