Bengaluru, June 5 -- The Karnataka High Court has upheld the decision of the Karnataka Cooperative Milk Producers' Federation (KMF), ruling that there is no legal infirmity in allowing the Raichur Milk Federation to expand the distribution of "Nandini" milk and dairy products in Telangana.

A single-judge bench headed by Justice Suraj Govindaraj dismissed petitions filed by SSR Enterprises and Sri Rajeshwari Dairy Products, which had challenged KMF's decision to extend market operations beyond Hyderabad into other districts of Telangana. The petitioners had claimed exclusive monopoly rights over the entire Telangana market, citing their existing agreement for the Hyderabad region.

The court, however, rejected this contention and clarifie...