The Economic Freedom Fighters have opened a case against businessman Adam Catzavelos.
It is the latest in the fallout from a racist video posted online.
The Baron Group has also terminated its contract with Catzavelos’ business.
In a Twitter statement, the group said it received sauces from the group, but now feels it can no longer do business with Catzavelos.
Family run business, St George’s Fine Foods has also fired him.
The company said it was appalled and totally rejects racism.
The business has also temporarily closed shop for the staff’s safety.
Catzavelos’ brother who speaks for the business, has declined to make any further comment.
The issue stems from a video posted by Catzavelos of himself on a Greek Island.
In the video, which has since gone viral, he expresses joy at not seeing a single black person and uses the k-word.
Catzavelos is one of the entrepreneurs profiled on Radio 702’s Nedbank Business Accelerator programme in 2014, both 702 and Nedbank have strongly condemned the action and all forms of racism.