New Delhi : The National Pharmaceutical Pricing Authority (NPPA) has issued notices, during 2015-16, to 263 pharma firms, which were found overcharging for their products,parliament was told on Tuesday.

The NPPA issued demand notices to 263 companies amounting to Rs.928.32 crore during the last fiscal, and recoveries effected are to the tune of Rs.12.68 crore, Minister of State for Chemicals and Fertilisers Hansraj Gangaram Ahir told the Lok Sabha in a written reply.

"Whenever companies are found overcharging the consumer in respect to price of medicines, NPPA issues demand notices for recovery of overcharged amount along with interest thereon under various provisions of DPCO (Drugs Price Contrl Order) 1995 and DPCO 2013," he said.

"The ceiling price of scheduled medicines are fixed by NPPA on market-based methodology. The companies are not allowed to increase the price beyond wholesale price index in a year," he added.