Bengaluru: Beverages giant Coca-Cola Company sued an e-waste recycler over a GST miscalculation and won Rs 45.2 lakh.The saga began in March 2023, when Hindustan Coca-Cola Beverages, located in Kodigehalli Gate, entered into an agreement with Uttar Pradesh-based Hin Green E-Waste Recycling Pvt Ltd. Under the deal, the recycler took on full, exclusive responsibility for collecting, removing and disposing of e-waste from all of Coca-Cola’s offices and facilities across the country.For financial year 2022-23, invoices for this scrap-disposal service were raised charging GST at 5%. But on reviewing its annual returns, the company found the applicable rate was actually revised to 18%, effective retrospectively from July 18. To correct the shortfall, it emailed the recycler a table of scrap items with the revised 18% GST and later issued a credit note and a revised debit note. A follow-up email reminded the recycler to avail input tax credit while filing its Oct 2023 returns, to which the recycler replied, acknowledging receipt and promising to furnish details “in due course.”That promise was never kept. Coca-Cola maintained that the recycler, being fully aware of the correct GST rate, had itself already sold goods at 18% and deposited that tax with the govt, making its refusal to settle the corresponding dues with the beverages company indefensible. Any failure on its part to claim input tax credit, the plaintiff argued, was its own negligence and no excuse to withhold legitimate payment.Reminder emails followed, prompting only a flat denial of liability from the recycler on March 20, 2024. By then Rs 45.2 lakh was outstanding.A legal notice sent on July 15, 2025, went unanswered. Pre-institution mediation proceedings collapsed when the recycler failed to appear, closing as a “non-starter.”After being sued in March 2026, the recycler appeared through counsel but never filed a written statement of defence.After going through all the documents, 85th additional city civil and sessions judge Arjuin S Mallur at Commercial Court held that the unchallenged evidence clearly established the recycler’s liability. He ordered the recycler to pay Rs 45.2 lakh with 12% annual interest from the date of the suit until realisation, along with costs.
