As per case facts, petitioners faced prosecution under the Drugs and Cosmetics Act, 1940, for allegedly distributing and manufacturing drugs found 'not of standard quality' after a sample failed a ...
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HIGH COURT OF JAMMU & KASHMIR AND LADAKH
AT JAMMU
CRMC No. 364/2016 c/w
CRMC No. 15/2017
CRM(M) No. 223/2022
Reserved on: 31.07.2026
Pronounced on: 11.08.2026
Uploaded on: 11.08.2026
CRMC No. 364/2016
1. M/S Simran Pharmaceuticals,
Ward No. 3, Indira Colony,
Near Dreamland School, Janipur,
Jammu,
Through its Competent Person, namely,
Rajinder Singh age 42 years,
S/o Sh. Parmod Singh
2. M/S Sunil Medicates,
Ramsharnam Colony,
Dalhousie Road, Pathankot, Punjab,
Through its competent person namely
Sunil Thakur, Age 40 years,
S/o Sh. Kartar Singh
…..Petitioner(s)
Through: Mr. Sachin Gupta, Advocate
Mr. Varut Kumar Gupta, Advocate
Vs.
1. State of Jammu and Kashmir
Through Drugs Inspector, Doda, H.Q. C/o
Office of the Deputy Controller, Drugs and
Food Control Organisation, Jammu
Division.
Through:
.…. Respondent(s)
Mr. Raman Sharma, AAG with
Ms. Saliqa Sheikh, Advocate
Sr. No. 162
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CRMC No. 15/2017
1. Affine Formulations Pvt. Ltd.
1947/3, Village Bhatia, Tehsil Nalagarh
District Solan, Himachal Pradesh.
Through its Director Namely,
Pradhyuman Nyati, Age 34 years
S/o Sh. Mohan Lal Nyati.
Through:
Vs.
1. Stage of Jammu and Kashmir
Through Drugs Inspector, Doda. H.Q.
C/o Office of Deputy Controller,
Drugs and Food Control Organization,
Muthi, Jammu, J&K
2. Government Analyst Doda,
C/o Office of Controller,
Drugs and Food Control Organization,
Patoli Mangotria, Jammu, J&K
Through:
CRM(M) No. 223/2022
1. Veena Rani, Age-75 Years,
W/o Late Wazir Chand,
House No. 1047, Sector 6
Karnal Rural Part 1, Haryana, India,
Proprietor Luv Kush Drug House,
Shop No. 10, Phoosgarh Road,
Karnal
Through:
Vs.
…..Petitioner(s)
Mr. Sachin Gupta, Advocate
Mr. Varut Kumar Gupta, Advocate
.…. Respondent(s)
Mr. Raman Sharma, AAG with
Ms. Saliqa Sheikh, Advocate
…..Petitioner(s)
Mr. Sachin Gupta, Advocate
Mr. Varut Kumar Gupta, Advocate
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1. Union Territory of Jammu and Kashmir,
Through Drugs Inspector Doda, H.Q.
C/o Office of Deputy Controller,
Drugs and Food Control Organization,
Jammu Division.
2. Government Analyst Doda,
Combined Food and Drugs Laboratory,
Controller Drugs J&K,
Drugs and Food Control Organization,
Patoli Mangotria, Jammu.
.…. Respondent(s)
Through:
Mr. Raman Sharma, AAG with
Ms. Saliqa Sheikh, Advocate
CORAM: HON’BLE MR. JUSTICE SANJAY PARIHAR, JUDGE
JUDGEMENT
1. Petitioners herein are aggrieved of the proceedings pending against them for
the alleged commission of offences punishable under Section 18 (a) (i) read
with Section 27(d) of the Drugs and Cosmetics Act, 1940 (hereinafter referred
to as “the Act”), arising out of an incident dated 04.01.2014, when the
complainant-Drug Inspector lifted samples of various drugs from the premises
of M/s Lucky Medical Hall, Doda (A-1) including “Macnim Plus Tablets”,
bearing Batch No. 13329, manufactured in 05/2013 and having expiry date of
04/2015. The said sample was subsequently reported to be not of standard
quality on the ground that it had failed the disintegration test.
2. That CRMC No. 364/2016 has been preferred by the petitioners, namely, M/s
Simran Pharmaceuticals, Janipur, Jammu, and M/s Sunil Medicates Dalhousie
Road, Pathankot, Punjab, who are alleged to be the stockiest/distributors of the
aforesaid drug. CRMC No. 15/2017 has been preferred by M/s Affine
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Formulations Pvt. Ltd., the manufacturer of the drug, whereas the third
petition-CRM(M) No. 223/2022, has been preferred by M/s Luv Kush Drug
House, Karnal also a dealer, through its proprietor.
3. A common and substantial question of law arising for consideration in all the
aforesaid petitions is whether the complainant-Drug Inspector was duly
empowered under the provisions of the Act to draw and have the subject
sample analysed for the purpose of launching prosecution under Section 27(d)
of the Act. It is the specific case of the petitioners that the Drug Inspector was
not competent/empowered to deal with the said sample in the manner in which
it was done. It is further contended that the Public Analyst, who furnished the
report declaring the drug to be not of standard quality, was likewise not
competent/empowered under the statutory scheme to undertake the analysis of
the drug in question, which falls within Schedule C of the Act.
4. It is further the specific case of the petitioners that they have been deprived of
their valuable statutory right and opportunity to have the subject sample
retested/reanalysed in accordance with law. No portion of the sample was ever
forwarded or made available to the manufacturer for the purpose of seeking a
retest/reanalysis. Consequently, by the time the petitioners came to know of the
alleged contravention and the prosecution was initiated, the petitioners were
effectively denied the opportunity contemplated under Section 25(3) of the
Drugs and Cosmetics Act, 1940. Such deprivation has caused serious prejudice
to the petitioners and vitiates the continuation of the prosecution against them.
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5. Per contra, it is the case of the respondents that, at the time of drawing the
sample from the spot, four portions of the sample were prepared. One portion
was handed over to the retailer from whose premises the sample was drawn,
while another portion was transmitted to the Public Analyst for analysis. The
third portion was personally handed over to accused No. 2, namely, M/s Simran
Pharmaceuticals Pvt. Ltd., Janipur, Jammu, on 28.02.2014, with a request to
furnish the particulars/name of the manufacturer from whom the drug in
question had been procured. It is, thus, contended that the statutory requirement
contemplated under Section 18-A of the Act stood duly complied with.
6. That the respondents further contend that none of the petitioners, at the relevant
stage, availed of or sought to invoke the statutory remedy for
retesting/reanalysis of the subject sample. It is submitted that the manufacturer,
vide communication dated 28.04.2014, acknowledged having received the
report of the Public Analyst from the complainant-Drug Inspector; however,
the said communication does not contain even a reference to any intention on
the part of the manufacturer to challenge or controvert the report by seeking
retesting/reanalysis of the sample. According to the respondents, the
petitioners, having failed to exercise the remedy available to them within the
prescribed period, cannot now contend that they were deprived of an
opportunity to have the sample retested. Placing reliance upon Section 25(3) of
the Act, the counsel appearing for the respondents submits that the report of the
Public Analyst attains finality and becomes conclusive unless the person from
whom the sample was taken, or the person to whom the information under
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Section 18-A is furnished, communicates, within a period of twenty-eight days
from the date of receipt of the copy of the report, his intention to adduce
evidence contrary of the report or to have the sample reanalysed/retested. It is,
therefore, contended that, in the absence of any such request or expression of
intention on the part of the petitioners within the prescribed period, the report
of the Public Analyst became conclusive in terms of the statutory scheme. With
reference to Section 25(4) of the Act, the counsel for the respondents further
submits that the onus was upon the petitioners to take appropriate steps for re-
examination/reanalysis of the sample and that, having consciously failed to
avail the remedy available under the Act, they cannot subsequently seek to
assail the prosecution on the ground that such opportunity was not afforded to
them.
7. That learned counsel for the respondents has further relied upon SRO 137 dated
28.03.2013 to contend that the Drug Inspector, Doda, was duly authorised and
competent to draw samples from the premises in question. It is further
submitted that the report furnished by the Public Analyst was prepared in
accordance with the applicable Standard Operating Procedure (SOP) prescribed
by the Drugs and Cosmetics Department and, therefore, the same cannot be
discarded at this stage merely on the basis of the allegations raised by the
petitioners.
8. That, as regards the objections raised by the petitioners concerning the manner
and procedure adopted in conducting the analysis, learned counsel for the
respondents submits that such issues involve disputed questions of fact which
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cannot appropriately be adjudicated in proceedings seeking quashing of the
complaint/prosecution. According to the respondents, any challenge to the
correctness of the analytical process or the findings recorded by the Public
Analyst would be a matter for evidence and could appropriately be tested by
subjecting the Public Analyst to cross-examination during trial, rather than
being determined in the present proceedings.
9. In rebuttal to the submissions advanced on behalf of the respondents, the
counsel for the petitioners, placing reliance upon the judgment rendered by a
Coordinate Bench of this Court in August Remedies, Village Ogli, Nahan Road
v. State of J&K and others, in CRMC No. 402/2013, has contended that non-
supply/non-forwarding of the requisite portion of the sample to the
manufacturer has resulted in denial of a valuable statutory right available to the
petitioners under the Act. It is argued that the manufacturer was thereby
deprived of an effective opportunity to have the sample reanalyzed/retested and
to controvert the report of the Public Analyst. According to learned counsel,
such denial has caused manifest prejudice to the petitioners and, therefore, the
continuation of the criminal proceedings against them is legally unsustainable
and liable to be quashed. Besides, the petitioners have further placed reliance
upon the judgment rendered by a Coordinate Bench of this Court in Neena
Gupta v. UT of Ladakh, and submitted that other petitioners had dealt with the
drug in question in the ordinary course of their respective businesses as retailer,
stockiest, wholesaler and distributor, through duly licensed premises. It is
contended that there is neither any allegation nor any material on record to
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suggest that the prescribed storage conditions in respect of the drug were
violated or compromised at any stage while the drug remained in the custody of
the petitioners. It is further submitted that no contrary evidence has been
brought on record by the prosecution to establish any deviation from the
prescribed conditions of storage. In such circumstances, according to learned
counsel, fastening criminal liability upon the retailer, stockiest, wholesaler and
distributor, in the absence of any specific allegation or material indicating their
culpable conduct, is without legal foundation and the prosecution against them
deserves to be quashed.
10. Heard learned counsel for the parties at length and perused the record. From a
perusal of the complaint, it emerges that on 04.01.2014, the complainant-Drug
Inspector purchased the drug in question from the premises of accused No. 1,
namely, M/s Lucky Medical Hall, Doda, and drew the requisite sample. The
sample was divided into four portions, each of which was duly packed and
sealed in accordance with the prescribed procedure. One portion was handed
over to accused No. 1, whereas another portion was forwarded to the
Government Analyst under Form No. 18 dated 04.01.2014 for analysis. The
report of the Government Analyst was received by the complainant on
29.01.2014, whereby the subject drug was declared to be “Not of Standard
Quality” on the ground that the sample had failed the disintegration test.
11. Upon receipt of the aforesaid report, the complainant conveyed the result to
accused No. 1 and called upon him to furnish the particulars of the
dealer/manufacturer from whom the drug in question had been procured.
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Pursuant thereto, accused No. 1 disclosed the particulars of accused No. 2,
namely, M/s Simran Pharmaceuticals, Ward No. 3, Janipur, Jammu, from
whom the stock had allegedly been purchased. According to the complainant, a
copy of the test report was supplied to accused No. 2 and the third portion of
the sample was also personally handed over to accused No. 2 on 28.02.2014.
12. During the course of further proceedings, accused No. 2 informed the
complainant that the drug in question had been supplied to it by M/s Sunil
Medicates, stated to be the wholesaler, who was, in turn, called upon to furnish
the particulars of the manufacturer/supplier from whom the drug had been
procured. M/s Sunil Medicates disclosed that the drug had been supplied by
M/s Luv Kush Drug House, Karnal, arrayed as accused No. 4. On the basis of
the information so furnished, the particulars of accused No. 5, namely, M/s
Sian Biotech, the authorised distributor, came to be disclosed. The said concern
was also apprised of the analytical report and the proceedings initiated in
respect of the drug in question.
13. Thereafter, the manufacturer, arrayed as accused No. 6, was informed by the
complainant regarding the failure of the subject drug in the prescribed test. The
record further discloses that, vide communication dated 28.04.2014, the
manufacturer responded to the Drug Inspector and furnished the particulars of
the distribution channel, stating that the drug had been supplied through
accused No. 5, M/s Sian Biotech, Chandigarh, which was its authorised
distributor. The manufacturer asserted that the drug conformed to the
prescribed standards under the Indian Pharmacopoeia (IP). At the same time,
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the manufacturer sought consideration of the disintegration test result and
offered an explanation with regard to the possible behavior of the tablet in the
presence of the excipients, suggesting that the tablet might swell after a longer
period during the disintegration process. The manufacturer, accordingly,
appears to have instructed its distributor to recall the product in question.
14. It is further borne out from the record that, according to the complainant, none
of the accused approached the Drug Inspector for reanalysis or retesting of the
subject sample. The complainant thereafter took up the matter with the Drugs
Controller, who, in turn, directed the complainant to initiate prosecution against
the manufacturer and the other persons allegedly connected with the
distribution and sale of the drug in question. It is in the aforesaid backdrop that
the complaint came to be instituted and the proceedings against the petitioners
were set in motion.
15. Before proceeding further, it would be apposite to notice the judgment rendered
by a coordinate bench of this Court in CRMC No. 402/2013, wherein, relying
upon the judgment of the Hon’ble Supreme Court reported as (2018) 15 SCC, it
was held that where the manufacturer was not supplied with the requisite
portion of the sample of the seized drug and, in addition thereto, there was an
unexplained delay on the part of the Court in taking cognizance of the
complaint, such circumstances, which were not attributable to the
manufacturer, could not operate to his prejudice. The Court observed that the
manufacturer and the stockiest possessed a valuable statutory right to seek
reanalysis of the sample and that denial of such right, on account of
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circumstances beyond their control, would materially prejudice their defence.
In the aforesaid circumstances, the proceedings were held liable to be quashed.
16. In the said case, this court had noticed that the report of the Government
Analyst had been submitted, whereas the same was communicated to the
manufacturer after a lapse of approximately five months. By that time, the shelf
life of the drug had already expired, thereby rendering the statutory remedy of
reanalysis/retesting practically unavailable. The manufacturer had also
specifically pleaded that the report of the Government Analyst had never been
served upon it and that it had acquired knowledge of the same only upon
receipt of the summons issued by the Court. Taking into consideration the
aforesaid circumstances, particularly the expiry of the shelf life of the drug and
the consequent frustration of the manufacturer's statutory right to seek
reanalysis, the coordinate bench proceeded to quash the criminal proceedings.
17. However, the legal position governing the right contemplated under Section 25
of the Act also came to be considered by the Hon’ble Supreme Court in State of
Haryana v. Brij Lal Mittal and others, (1998) 5 SCC 343. In that case, the
sample was reported to be not of standard quality and the drug was also alleged
to be misbranded/adulterated. The complainant-Drug Inspector had supplied
the report of the Government Analyst to the retailer, who disclosed the
particulars of the distributor, namely, M/s Ajay Medical Agencies, and the
manufacturer, M/s Mitson Pharmaceutical Pvt. Ltd. The High Court quashed
the proceedings, inter alia, on the ground that the complaint had been instituted
after expiry of the shelf life of the drug, thereby depriving the manufacturer of
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the opportunity contemplated under Section 25(4) of the Act to have the sample
reanalysed by the Central Drugs Laboratory.
18. The Hon’ble Supreme Court, while examining the statutory scheme, noticed
that Section 25(3) of the Act requires the person from whom the sample was
taken, or the person to whom the report was furnished under Section 18A, to
notify the Inspector or the Court, in writing, within twenty-eight days of receipt
of the copy of the Government Analyst’s report, of his intention to adduce
evidence in controversial of the report. The Court found that the manufacturer
in that case had admittedly received the report of the Government Analyst on
19.02.1991, but had failed to communicate, within the prescribed period of
twenty-eight days, its intention to controvert the report or to have the sample
reanalyzed. Instead, the manufacturer had chosen to subject the drug to its own
internal testing. In those circumstances, the report of the Government Analyst
had attained the status of conclusive evidence in terms of Section 25(3) of the
Act.
19. The Hon’ble Supreme Court, therefore, held that merely because the shelf life
of the drug had expired or there had been some delay in instituting the
complaint, the prosecution could not, by itself, be quashed when the accused
had failed to exercise the statutory right available to them within the period
prescribed under Section 25(3) of the Act. The judgment thus makes it clear
that the question whether the accused was effectively deprived of the statutory
right of reanalysis has to be examined in the context of the facts of each case,
including the date of receipt of the Government Analyst’s report, the
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opportunity available to the accused to exercise the right under Section 25(3),
and the circumstances resulting in the sample becoming unavailable for
reanalysis.
20. In Amery Pharmaceuticals v. State of Rajasthan, 2001 (4) SCC 382, the retailer
had disclosed the particulars of the distributor, through whom the identity of
the manufacturer became known to the complainant. The manufacturer claimed
before the learned Magistrate that it was entitled to be discharged on the ground
that it had not been supplied with the sample and, consequently, had been
deprived of its right to contest the complainant’s case. The Hon’ble Supreme
Court held that even where the manufacturer is not initially supplied with a
copy of the report or a portion of the sample, it is not left remediless and retains
the liberty to challenge the correctness of the report by taking recourse to
Section 25(4) of the Drugs and Cosmetics Act. The Apex Court further
observed that acquitting a manufacturer of adulterated drugs merely on a
technical ground would be contrary to the legislative intent. In that case, the
appellant had alleged non-compliance with Section 23(4) on the ground that the
Drug Inspector had failed to send a portion of the sample to the manufacturer.
21. In the said case, although the Sessions Judge deleted the charge relating to the
manufacture of spurious drugs, the remaining charges, including those relating
to misbranding and adulteration, were upheld. The High Court dismissed the
petition preferred by the manufacturer, which led the manufacturer to approach
the Hon’ble Supreme Court. It was in that factual background that the Apex
Court laid down the aforesaid principle.
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22. In Medicamen Biotech Ltd. v. Rubina Bose, 2008 (7) SCC 196, the laboratory
reported that the drug sample seized did not conform to the prescribed
standards. Upon receiving the information, the manufacturer conducted in-
house tests and also obtained an analysis report from another approved
laboratory, both of which confirmed that the drug conformed to the prescribed
standards. The appellant-manufacturer communicated to the Drug Inspector its
intention to contest the findings of the Government Analyst. However, the
Drug Inspector failed to facilitate retesting of the sample and proceeded to file
the complaint.
23. The Hon’ble Supreme Court held, in the facts and circumstances of that case,
that the manufacturer had correctly and timely exercised its statutory right
under Section 25 of the Drugs and Cosmetics Act by indicating its intention to
dispute the Government Analyst’s report. The Drug Inspector, therefore, was
under a mandatory legal obligation to forward the sample for retesting to the
Central Drugs Laboratory. Since the manufacturer had demonstrated its
intention to contest the Government Analyst’s report, the failure of the Drug
Inspector to facilitate such retesting deprived the manufacturer of its valuable
statutory right to a fair defence. The continuation of the criminal proceedings in
those circumstances was consequently held to constitute an abuse of the
process of law.
24. In GlaxoSmithKline Pharmaceutical Ltd. v. State of Madhya Pradesh, Criminal
Appeal No. 1489 of 2011, decided on 28.07.2011, the Government Analyst
reported that the sample was not of standard quality on account of “analytical
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difficulties”. A show-cause notice was thereafter issued to the manufacturer,
which replied that the sample ought to have been tested and analysed with
reference to the Indian Pharmacopoeia (I.P.), 1996, instead of the I.P., 1985.
Criminal proceedings were subsequently initiated and cognizance was taken.
The manufacturer thereafter moved an application before the Chief Judicial
Magistrate under Section 25(3) of the Drugs and Cosmetics Act, seeking that
the sample be sent to the Central Drugs Laboratory for analysis. The
application was rejected, and the High Court also dismissed the challenge
thereto. When the matter reached the Hon’ble Supreme Court, it was held that
Section 25(3) confers upon the manufacturer a statutory right to challenge or
controvert the report of the Government Analyst. However, the Court found
that the manufacturer had failed to notify the concerned authorities within 28
days of its intention to adduce evidence in contravention of the report. Mere
technical objections regarding the methodology adopted for testing, or a request
that the proceedings be closed, were held not to satisfy the mandatory statutory
requirement. Relying upon State of Haryana v. Brijlal Mittal and Others, the
Hon’ble Supreme Court reaffirmed that the right to have the sample tested by
the Central Drugs Laboratory accrues only when the accused complies with the
requirement of Section 25(3) within the prescribed period of 28 days. Since the
manufacturer had itself failed to exercise the statutory right within the
prescribed period, there was no justification for interfering with the orders of
the courts below rejecting its application for retesting. The Court further held
that, once the accused fails to exercise the statutory right under Section 25(3)
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within the prescribed period, any delay on the part of the State in filing the
criminal complaint or instituting the prosecution becomes irrelevant and
immaterial.
25. Having regard to the aforesaid legal precedents, this Court now proceeds to
examine the case of the petitioners. A reading of the complaint reveals that,
since the samples were not lifted from the distributor but from the premises of
accused No. 1, namely, the retailer, the Drug Inspector was required to draw
four portions of the sample, which he admittedly did. Out of the four samples,
one was handed over to accused No. 1; the second, as admitted by the parties,
was forwarded to the Government Analyst, who submitted his report; and the
third sample, as specifically stated in the complaint, was handed over to M/s
Simran Pharmaceuticals, the petitioner in CRMC No. 364/2016.
26. The fourth sample, in terms of the statutory scheme, was required to be
produced before the Court in which the complaint was filed. The sole grievance
projected by the petitioners is that the manufacturer was not supplied with a
portion of the sample. The drug in question was admittedly manufactured by
M/s Affine Formulations and supplied to accused No. 5, M/s Sian Biotech, its
distributor, from whom the drug travelled through the subsequent stages of the
distribution chain, namely, the stockist, wholesaler and, ultimately, the retailer.
27. Section 23(4) of the Act categorically provides that, after the samples are taken,
one portion thereof shall be delivered to the person, if any, whose name,
address and other particulars have been disclosed under Section 18-A. In the
present case, the sample was lifted from accused No. 1, M/s Lucky Medical
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Hall, Doda, which was the retailer to whom the drug had been supplied by
accused No. 2, M/s Simran Pharmaceuticals, the petitioner herein.
Significantly, paragraph 8 of the complaint specifically records that the third
portion of the sample was personally handed over by the complainant to
accused No. 2, thereby complying with the requirement of Section 18(a).
28. Merely because the manufacturer was not directly supplied with a portion of
the sample would not, in the facts of the present case, render the procedure
adopted by the Drug Inspector illegal or contrary to the statutory scheme. This
is also borne out from the communication addressed by the manufacturer to the
complainant on 28.04.2014. There is not even a whisper in the said
communication that the manufacturer intended to have the sample retested or
proposed to exercise its statutory right under Section 25(3) of the Act. Rather,
the manufacturer sought to contend that the disintegration test may not be
applicable to it, suggesting that there could have been some lapse on the part of
the retailer or any other licensee in whose possession the drug had remained.
The manufacturer further requested the Drug Inspector to treat the
disintegration test of Macnim Plus Tablets as having complied with the
prescribed standards, contending that there had been instances where tablets
had exhibited swelling only after a longer period following the testing process.
Thus, the substance of the manufacturer's response was essentially to attribute
the failure in the disintegration test to the manner in which the drug may have
been stored or handled by the distributor, stockist, wholesaler, retailer or any
other person in the distribution chain.
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29. The manufacturer, therefore, nowhere expressed any intention to have the
sample retested or to adduce evidence in contrary of the Government Analyst's
report. Learned counsel for the petitioners has laid considerable emphasis on
the contention that, out of the four portions of the sample, one portion was
mandatorily required to be supplied to the manufacturer. Such an argument
could have some force where the sample itself had been drawn from the
premises or possession of the manufacturer. In such a case, the statutory
procedure would require one portion of the sample to be delivered to the person
from whose possession the sample was taken.
30. However, where the sample is drawn from a retailer or any other person in the
distribution chain, the Drug Inspector is required to comply with the mandate
of Section 18A by obtaining and recording the particulars of the person from
whom the drug was received and by supplying the requisite portion of the
sample to such person whose particulars have been disclosed in accordance
with the statutory requirement. Once the complainant had admittedly delivered
the third portion of the sample to accused No. 2, M/s Simran Pharmaceuticals, a
fact which has not been disputed in the present petitions, the other petitioners
cannot derive any benefit under Section 25(3) merely by contending that the
manufacturer was not directly supplied with a portion of the sample. The
statutory right under Section 25(3) becomes available to the manufacturer upon
it expressing an intention, within the prescribed period of 28 days, to adduce
evidence in contravention of the report of the Government Analyst. In the
present case, no such intention was expressed by the manufacturer within the
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statutory period. Consequently, the petitioners cannot seek to invalidate the
proceedings merely on the ground that a portion of the sample was not directly
supplied to the manufacturer.
31. I now proceed to examine the contention that the complainant did not possess
the requisite authority to inspect the premises and draw the sample. The said
contention is wholly contrary to the statutory position and the mandate of SRO
137. It has also been argued that the Public Analyst was not competent or
authorised to analyse the drug in question as the same falls within Schedule C.
This contention, however, requires consideration in the light of the relevant
statutory provisions and the evidence to be led by the complainant.
32. The report submitted by the Public Analyst on 29.01.2014 records that the
sample had failed the disintegration test as per I.P. 2010. Whether the Public
Analyst possessed the requisite authority to conduct such analysis and whether
the test was carried out in accordance with the applicable standards are matters
which would require factual determination. Such questions can appropriately be
examined after the Public Analyst is produced and examined by the
complainant during trial. Section 25(3) provides that the report of the
Government Analyst shall be conclusive evidence of the facts stated therein
unless the person concerned, within the prescribed period of 28 days, notifies
the concerned authority of his intention to adduce evidence in contravention of
the report. Thus, where no such intention is expressed within the statutory
period by the manufacturer, distributor or any other person concerned, the
report acquires the character of conclusive evidence, subject to the statutory
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remedy available under Section 25(4). Such remedy can be invoked by
approaching the Court for an order directing that the sample be sent to the
Central Drugs Laboratory for analysis, and the report of the Central Drugs
Laboratory would thereafter prevail in accordance with law.
33. In the present case, the petitioners have failed to demonstrate that, at any stage,
they expressed an intention to avail themselves of the statutory remedy
contemplated under Section 25(3) or Section 25(4), as the case may be, for
having the sample retested. Reliance placed upon the judgment of a learned
Single Judge of this Court in August Remedies v. State of J&K and Others,
passed by a Coordinate Bench, is wholly misplaced. The said judgment was
rendered in the peculiar facts and circumstances of that case. There, the
manufacturer had not received the report of the Government Analyst and,
specifically, claimed that it had received the report for the first time along with
the summons issued by the Court. It was in that factual background that the
Court concluded that the manufacturer had been deprived of its valuable right
to adduce evidence contrary of report. The Court also found that the
complainant had failed to supply a portion of the sample to the manufacturer so
as to enable it to seek retesting.
34. The factual position in the present case is entirely different. Neither the
manufacturer nor the distributor, nor any of the other petitioners, ever
expressed an intention to have the sample retested. Even accused No. 2, who, in
terms of Section 18-A, had admittedly been supplied with the third portion of
the sample by the complainant, chose not to seek retesting. Thus, none of the
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petitioners raised any timely objection to the report of the Public Analyst by
invoking the statutory mechanism provided under the Act.
35. So far as the manufacturer is concerned, its reply, already referred to
hereinabove, was essentially an attempt to explain away or dispute the findings
recorded by the Public Analyst without demonstrating any tangible or
unequivocal intention to controvert the report by adducing evidence to the
contrary. On the contrary, the manufacturer proceeded to recall the existing
stock of Macnim Plus Tablets. Such conduct, at least prima facie, indicates that
even the manufacturer was conscious of the adverse report and had proceeded
on the basis that the sample had failed to satisfy the prescribed standards. As
held by the Hon’ble Supreme Court in Criminal Appeal No. 1489 of 2011
(supra), failure to notify the intention to controvert the report of the
Government Analyst, coupled with merely raising technical objections
regarding the methodology adopted for testing, does not fulfil the mandatory
statutory requirement of expressing an intention to adduce evidence in
contravention of the report.
36. Having regard to the peculiar facts of the present case, the complainant was not
under a legal obligation to directly supply one of the portions of the sample to
the manufacturer. The statutory requirement under Section 18-A, stood duly
complied with when the requisite portion of the sample was supplied to the
person whose particulars had been disclosed in the distribution chain. In the
present case, the complainant had supplied the sample not only to the retailer
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CRM(M) No. 223/2022
but also to the distributor/wholesaler in accordance with the statutory
procedure.
37. There is yet another aspect of the matter which assumes significance.
According to the averments made in the complaint, on 07.04.2014, M/s Sian
Biotech, the distributor, informed the complainant of the particulars of the
manufacturer. This prompted the complainant to issue a communication dated
05.05.2014 to the manufacturer, requiring it to furnish the details concerning
the drug in question as well as the constitution of the firm. However, the
manufacturer, in its communication dated 28.04.2014 addressed to the Drug
Inspector, referred to a letter dated 19.05.2014 allegedly received from the
complainant. The chronology of these communications, as emerging from the
material placed on record, indicates that the manufacturer had already acquired
knowledge regarding the failure of the sample before the complainant formally
approached it for the particulars of the manufacturer. Significantly, even before
such communication from the complainant, the manufacturer had directed its
distributor, M/s Sian Biotech, to recall the remaining stock of approximately
2,000 boxes of Macnim Plus Tablets. This conduct demonstrates that the
manufacturer was aware of the adverse test result and had taken steps in
relation to the remaining stock.
38. By the time the manufacturer acquired knowledge of the adverse test result, the
shelf life of the drug had not yet expired, the expiry date being April 2015. The
manufacturer, therefore, had sufficient opportunity to exercise its statutory right
to seek retesting of the sample. It could have either expressed its intention to
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adduce evidence contrary of the Government Analyst's report within the
prescribed period or sought appropriate orders for retesting of the sample in
accordance with law. No such course was adopted. The manufacturer neither
expressed a timely intention to contest the report by adducing contrary
evidence nor sought from the Court or the Drug Inspector the requisite portion
of the sample for retesting. In view of the aforesaid discussion, the petitioners
have failed to point out any material infirmity or lacuna in the case of the
complainant warranting interference at this stage. Whether the report of the
Public Analyst conforms to the prescribed testing standards, whether the test
was properly conducted, and whether the Public Analyst was competent to
undertake such analysis are matters of evidence which can appropriately be
determined during trial.
39. At the stage of considering a petition for quashing of criminal proceedings, the
relevant material is primarily the complaint and the documents/material
annexed thereto. The material presently available, prima facie, demonstrates
that the complainant followed the statutory safeguards while drawing the
samples and invoked Section 18-A to ascertain the particulars and whereabouts
of the wholesaler, stockist, distributor and manufacturer. The disputed factual
aspects cannot, therefore, be adjudicated upon in proceedings seeking quashing
of the complaint. Reliance placed upon the judgment of a coordinate bench in
Neena Gupta v. Union Territory of Ladakh, is also of little assistance to the
petitioners. In that case, the petitioners before the Court were dealers in the
drug in question and were not the manufacturers. The manufacturer had
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specifically taken the defence that the drug had failed to meet the prescribed
standards on account of the petitioners' failure to store the drug in an
appropriate manner. During the course of investigation, the authorities under
the Drugs and Cosmetics Act had found that the manufacturer was attributing
the failure of the drug to the dealer/retailer. However, from the complaint and
the material placed before the Court, there was no evidence to establish that the
drug in question had in fact been stored improperly by the petitioners, who
were the dealers. In that factual background, the Court held that, once the
material on record satisfied the requirements of Section 19(3), the petitioners
could not have been prosecuted.
40. The factual position in the present case is materially different. Neither the
complaint nor the material annexed thereto contains any averment or material
suggesting that accused Nos. 1 to 5, who dealt with the drug in question in their
respective capacities as retailer, stockiest, dealer or distributor, had stored the
drug in an improper manner. The petitioners, therefore, cannot derive any
substantial benefit from the judgment rendered by a coordinate bench in Neena
Gupta supra. For the foregoing reasons, this court finds no merit in these
petitions. The same are, accordingly, dismissed, interim direction, if any, shall
vacated.
(Sanjay Parihar)
Judge
Jammu
11.08.2026
Rahul Sharma Whether the order is speaking? Yes
Whether the order is reportable? Yes
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