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    • CCI dismisses...

    CCI dismisses complaint against Cipla, chemist body over alleged non-supply of medicines

    Farhat NasimWritten by Farhat Nasim Published On 2019-05-21T09:45:47+05:30  |  Updated On 16 Aug 2021 12:08 PM IST

    New Delhi: In a major relief to Mumbai based Cipla Ltd and Bengal Chemist and Druggists Association (BCDA), the Competition Commission of India has dismissed a complaint against pharmaceutical major and the chemist body over alleged non-supply of medicines.


    While dismissing the complaint, the fair-trade regulator said the complainant "tried to give a commercial dispute between him and Cipla Ltd a colour of competition issue".









    The complaint was filed by West Bengal-based individual named Kalyan Chowdhary, who is a stockist of Cipla Ltd.


    Read Also: Cipla gets no USFDA observations for Indore facility







    The complainant had alleged that despite the placement of repeated orders, Cipla had stopped the supply of medicines at the behest of BCDA.


    Further, the druggist body was manipulating the prices of the medicines by controlling the demand and supply of the medicines, he alleged.


    Moreover, the complainant alleged that in 2013, he had paid Rs 50,000 for obtaining a no-objection certificate (NOC) from BCDA and it is only after obtaining NOC that Cipla started supplying medicine to him.


    By doing so, Cipla and BCDA contravened Section 3 and 4 of the Competition Act which pertains to anti-competitive agreements and abuse of dominant position, respectively, the complainant alleged.


    In order, the Competition Commission of India (CCI) said Cipla did not stop supplying medicines to the complainant, rather it insisted for advance payment in view of earlier incidents of delayed payments.


    Read Also: Generic of Sensipar: US court denies Amgen request for preliminary injunction against Cipla

    Further, it is observed that the stockists of the complainant is still existing with Cipla and the pharma company has undertaken to supply medicines to complainant on receipt of advance payment, CCI said.


    Accordingly, the Commission said allegation of non-supply of medicines by Cipla at the behest of BCDA is "unsubstantiated", CCI said in an order dated May 10.


    Similarly, regarding alleged manipulation of medicine prices by BCDA, the regulator said the complainant "has neither elaborated on the issue nor corroborated the same".


    Read Also: Generic of Sensipar: US court denies Amgen request for preliminary injunction against Cipla

    In absence of any evidence, CCI also dismissed the complainant's allegation of the mandatory requirement of NOC to be obtained from the druggist body to become a stockist of Cipla.


    After finding no contravention of the Competition Act by Cipla and BCDA, the fair trade regulator ordered the matter to be closed.

    BCDABengal Chemist and Druggists AssociationCCICCI dismissesChemistCiplacipla allegationscipla stockistcommercial disputeCompetition Commission of IndiaComplaintDruggistKalyan Chowdharymedicine supplymedicinesno objection certificateNOCstockist of cipla
    Source : with inputs

    Disclaimer: This site is primarily intended for healthcare professionals. Any content/information on this website does not replace the advice of medical and/or health professionals and should not be construed as medical/diagnostic advice/endorsement or prescription. Use of this site is subject to our terms of use, privacy policy, advertisement policy. © 2020 Minerva Medical Treatment Pvt Ltd

    Farhat Nasim
    Farhat Nasim

      Farhat Nasim joined Medical Dialogue an Editor for the Business Section in 2017. She Covers all the updates in the Pharmaceutical field, Policy, Insurance, Business Healthcare, Medical News, Health News, Pharma News, Healthcare and Investment. She is a graduate of St.Xavier’s College Ranchi. She can be contacted at editorial@medicaldialogues.in Contact no. 011-43720751 To know about our editorial team click here

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