Bombay HC quashes FIR against Mylan over Rs 5.96 crore BMC drug deal

The Bombay High Court has quashed an FIR against pharmaceutical major Mylan Laboratories Ltd over alleged irregularities in the Brihanmumbai Municipal Corporation's purchase of Remdesivir injections during the Covid-19 pandemic. Justice Ashwin Bhobe ruled that the allegations in the FIR, registered at Agripada police station on October 20, 2023, did not disclose a cognizable offence against the company.

The FIR followed claims of irregularities in BMC tenders for Remdesivir, with Mylan supplying vials at Rs 650 to Rs 2,626 each, allegedly causing a loss of Rs 5.96 crore to the civic body. Mylan approached the high court arguing that the Maharashtra Lokayukta had already examined similar allegations and, on March 3, 2025, found no corruption and the tender process transparent, attributing price increases to market demand.

The court noted the Lokayukta complaint and the FIR were based on identical allegations. Justice Bhobe exercised powers under Section 482 of the CrPC to quash the FIR, observing that continuing criminal proceedings after the Lokayukta's findings would be an abuse of process.