The incident happened earlier this week in the Chicago-bound flight from Hyderabad via New Delhi.
After taking a serious note of the incident, the national carrier had ordered a probe into the matter.
Air India spokesperson Dhananjay Kumar said a fine of Rs 1 lakh has been imposed on the Mumbai-based caterer Gourmate and a strict warning has also been issued.
The caterer would not be paid any money for catering services done on the day when the incident happened, he added.
In response, Air India tendered an apology for any inconvenience caused. "We have a zero tolerance policy in this respect. Obligatory action is taking place," the airline had said.
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