GLENMARK PHARMACEUTICALS LTD Vs. STATE OF KARNATAKA

JUDGEMENT

(1.) Proceedings had been initiated against the petitioners before the trial court under S. 14(1) & (9) of the Drugs (Price Control) Order r/w S. 3(2)(c) punishable under S. 7 of the Essential Commodities Act on the ground that as against the gazette notification, the price of the tablet was notified as Rs. 17/- i.e., excess of Rs. 2.32 was printed on the cover of a strip of ten tablets. Of course, notice has been issued by the prosecuting authority viz., Drugs Controller and also the excess amount gained by the company has been recovered.

(2.) According to the petitioners' counsel, when the amount has been reimbursed/recovered and paid to the Drugs Controller/authority, then there ends the matter and question of proceeding further against the petitioners would be abuse of process and against the undertaking given by them not to proceed further. Thus, learned Sr. Counsel Mr. Ravi B. Nayak has sought for quashing the initiation of criminal action by issuing process and also registering the complaint.

(3.) It is also the submission that accused are the Company, Managing Director and other Directors. Unless it is demonstrated that all the accused are responsible in the conduct and managing the affairs of the company, normally the Company and the Managing Director would be held responsible. In that view of the matter, action initiated against all the accused at least to the extent of Board of Directors i.e., but for their presence in the Meetings, the responsibility of conducting business is not there, is not proper and accordingly, prays for quashing the proceedings.