Prima Facie Harmful To Secular Structure Of Country: Bombay High Court Orders Removal Of Allegedly Defamatory Posts Calling For Boycott Against Malabar Gold

The Bombay High Court on Thursday granted interim relief to Malabar Gold Limited and directed removal of prima facie defamatory social media posts making derogatory comments about the company's CSR initiatives calling for a boycott.

Justice Bharati Dangre criticized the defendant for selectively choosing one photograph that captures scholarships program extended to girls from the Muslim community while ignoring the broader initiative of empowering girls through education.

The court remarked that the quote by Martin Luther King Jr. is squarely applicable to the present case – “Darkness cannot drive out darkness...only light can do that. Hate cannot drive out hate and only love can do that…”

This selective posting is damaging the reputation and goodwill of the plaintiff, with the potential to create divisions in society, the court observed.

“The Defendant No.1 may carry her own opinion on an issue, but by uploading only one particular photograph out of the entire stack of photographs clicked, when the scholarships were conferred upon the girl child across wide spectrum, without verifying the veracity of post, definitely would cause harm to the secular societal structure of the country and in particular when the post prima facie is baseless”, the court said.

Moreover, the dissemination of misleading information on various social media platforms is as an intentional effort to harm the plaintiff's reputation, the court opined.

Plaintiff Malabar Gold Limited is a prominent company engaged in the manufacturing and trading of jewellery and other articles made of gold, silver, precious stones, diamonds and premium watches, under the brand name “Malabar Gold and Diamonds”.

It filed the suit seeking damages of Rs. Seventy Crores, claiming that defamatory posts uploaded by the defendants Kajal Shingala, Murali Iyengar and Shefali Vaidya could irreparably damage its reputation in the business world. Additionally, the plaintiff pointed out the communal nature of the posts and their potential to incite division in society.

The plaintiff has sought an injunction against Shingala, accusing her of attempting to tarnish its image through a campaign labeled as "#BoycottMalabar". The plaintiff filed the present interim application in the suit seeking restraint against false propaganda by the defendants.

The defendants allegedly posted defamatory content on social media platforms such as Twitter, Facebook, and Instagram. The posts, including derogatory comments and communal remarks, targeted Malabar Gold's philanthropic activities, specifically its scholarship programs for girls.

Defendant Kajal Shingala allegedly picked a photograph from the plaintiff's scholarship distribution event, specifically focusing on girls from the Muslim community, and posted derogatory comments on social media platforms.

Shingala's comments insinuated that Malabar Gold shows favouritism in its scholarship distribution based on religion, leading to calls for boycotting the company. Defendants Murali Iyengar and Shefali Vaidya echoed similar sentiments on Twitter.

Iyengar and Vaidya removed the posts from their individual Twitter handles upon receiving notice of the plaintiff's application.

The court noted a news report accompanying the plaintiff's submission, which states that defendant Kajal Shingala was arrested for delivering a provocative speech during Ramnavmi which allegedly led to tension between Hindu and Muslim communities, resulting in rioting.

The court found weight in the plaintiff's concern that the defamatory posts had garnered significant attention on social media, potentially damaging Malabar Gold's reputation and impacting its business, especially with the occasion of Akshay Tritiya approaching.

The court emphasized that the plaintiff's philanthropic endeavours, particularly its provision of scholarships to young girls regardless of their caste, creed, or religion, should be acknowledged. Unlike discriminatory practices, the scholarships are awarded based on the girls' talent and potential rather than their religious or caste affiliations, the court noted.

The defendant failed to recognize the plaintiff's broader initiative in promoting education nationwide, the court said. “Such post definitely has the effect of damaging the reputation and goodwill of the Plaintiff. Various unknown people and third parties are re-posting the same and this has the potential to create a divide in this united country, which definitely is not in the interest of the citizens of this country”, said the court.

The court held that the plaintiff made out a prima facie case for ad-interim relief, recognizing the potential irreparable loss and damage to its achievements and status if the defamatory posts continue.

The court directed Shingala to immediately remove the defamatory content from her Twitter handle and restrained her from issuing further defamatory statements against Malabar Gold.

Further, the court ordered social media platforms X (Twitter), Instagram, and META Platforms Inc. to take down any posts or comments related to the defamatory content and prohibited the uploading of similar content in the future from specified URLs.

The court scheduled further consideration of the matter for July 8, 2024.

Advocates Karl Tamboly, Nidhi Singh, Shubham Khaire, Ishan Gambhir, Brian Noronha, Akshata Parkar i/b India Law LLP represented Malabar Gold.

Case no. – Interim Application (L) No. 15613 of 2024

Case Title – Malabar Gold Limited v. Kajal Shingala & Ors.

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