RANBAXY LABORATORIES LIMITED Vs. UNION OF INDIA

JUDGEMENT

(1.) THE PETITIONER COMPANY IS ENGAGED IN THE BUSINESS OF MANUFACTURE INTER ALIA OF BULK DRUG 'PENTAZOCINE' UTILISED IN THE FORMULATION OF THE INJUNCTION OF THE SAID DRUG AND SOLD UNDER THE BRAND NAME 'FOR TWIN'. THE PETITIONER, VIDE AN ORDER DATED 29.8.1995 ISSUED BY RESPONDENT NO. 1, WAS GRANTED EXEMPTION FROM THE PURVIEW OF THE DRUGS (PRICES CONTROL) ORDER, 1995 (HEREINAFTER TO BE REFERRED TO AS, 'DPCO'). THE EFFECT OF THIS NOTIFICATION WAS THAT IT ENABLED THE PETITIONER COMPANY TO FIX ITS OWN PRICE FOR THE DRUG FOR THE PERIOD OF EXEMPTION.

(2.) DPCO WAS PUBLISHED IN THE GAZETTE OF INDIA DATED 6.1.1995 AND WAS MADE IN EXERCISE OF THE POWERS CONFERRED UNDER SECTION & OF THE ESSENTIAL COMMODITIES ACT, 1955 (HEREINAFTER REFERRED TO AS, 'EC ACT'). PARA 25 OF THE DPCO AUTHORISED THE GOVERNMENT TO EXEMPT ANY MANUFACTURER FROM THE OPERATION OF THE PROVISIONS OF THE ORDER SUBJECT TO SUCH CONDITIONS AS MAY BE DEEMED PROPER. SINCE THE MATTER IN CONTROVERSY WOULD REQUIRE REFERENCE TO CERTAIN PARAGRAPHS OF THE DPCO, THE SAME ARE REPRODUCED HEREUNDER FOR CONVENIENCE OF REFERENCE:

(3.) POWER TO FIX THE MAXIMUM SALE PRICES OF BULKDRUGS SPECIFIED IN THEFIRST SCHEDULE