J&K and Ladakh High Court refuses to quash drug quality case against pharma directors

The Jammu & Kashmir and Ladakh High Court has refused to quash criminal proceedings against three directors of Corona Remedies Pvt Ltd over a drug batch declared 'Not of Standard Quality'. Justice Wasim Sadiq Nargal dismissed the directors' petition, holding that whether they were 'in charge of and responsible for' the company's business under Section 34 of the Drugs and Cosmetics Act is a factual question that requires trial. The court noted that directors cannot escape prosecution at the threshold merely by claiming no personal role in manufacturing.

The case stems from a 2015 batch of Locipil Tablets sampled at ESIC Model Hospital in Jammu, which a laboratory found substandard. The drugs inspector filed a complaint, and the chief judicial magistrate took cognizance in 2018. The directors, Ankur Kirtikumar Mehta, Dr Kirtikumar Laxmidas Mehta, and Nirav Kirti Kumar Mehta, challenged this order. The high court observed that the company had earlier stopped sale of the batch and sought leniency, and the directors could not later take an inconsistent stance. The court also said a joint inspection report showing good manufacturing practices did not exonerate them.

The court vacated a 2019 stay on proceedings and directed the trial court to proceed in accordance with law. It clarified that its judgment does not determine the ultimate guilt or innocence of the directors.