Himachal HC quashes criminal proceedings against pharmaceutical unit
Shimla, May 12,
The Himachal Pradesh High court quashed criminal proceedings against partners of a Baddi-based pharmaceutical firm in a drug quality case, holding that there were no specific allegations proving their direct role in the day-to-day conduct of the company.
Justice Sandeep Sharma passed the order while allowing a petition filed by M/s VADSP Pharmaceuticals and its partners against proceedings initiated under the Drugs and Cosmetics Act, 1940.
The complaint had been filed by the Union of India through the Drugs Inspector regarding allegedly substandard “Polymicin Eye Drops” manufactured at the company’s Baddi unit.
According to the case record, drug samples collected in 2018 and 2019 were tested by the Regional Drugs Testing Laboratory, Chandigarh, and later by the Central Drugs Laboratory, Kolkata.
The samples were declared “Not of Standard Quality” due to lower-than-prescribed assay content of Chloramphenicol and Dexamethasone Sodium Phosphate.
The petitioners argued that they were merely partners of the firm and not responsible for its manufacturing operations.
They stated that one Prem Nath, an analytical chemist, had been officially appointed as the authorised technical person responsible for quality control and production activities.
Accepting the plea, the High Court observed that the complaint did not contain any clear averments showing how the partners were personally responsible for the conduct of the company’s business.
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The court held that mere designation as partners was insufficient to impose criminal liability under Section 34 of the Drugs and Cosmetics Act.
The court subsequently quashed Complaint Case No. 14/3 of 2022 and all consequential proceedings pending before the Chief Judicial Magistrate, Nalagarh.
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