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Drugs (Prices Control) Order
Paras 19(1) and 19(2)—Essential Commodities Act—Section 7A—Trade margin and interest rate
Paras 19(1) and 19(2)—Essential Commodities Act—Section 7A—Trade margin and interest rate
The overcharged amount can be calculated with reference to the printed MRP when Para 19(1) DPCO 95 makes it incumbent on the manufacturer or the wholesaler to sell the product to the retailer at the retail price minus 18% - An order issued by the National Pharmaceutical Pricing Authority(NPPA) Respondent No. 2 fixing ceiling prices for certain multi-vitamin formulations and the consequential demand issued by the NPPA requiring the Petitioner to deposit Rs. 1,41, 57,104/- towards overcharging amount and interest—in challenge – writ petition filed—the respondents failed to show how vis-à-vis the manufacturer, the overcharged amount can be calculated with reference to the printed MRP when Para 19(1) DPCO 95 makes it incumbent on the manufacturer or the wholesaler to sell the product to the retailer at the retail price minus 18%-- impugned demand issued by the NPPA set aside and matter remitted back to the NPPA for re-calculation of the overcharged amount after accounting for the trade margins allowed by BLPL in terms of Paras 19(1) and 19(2) DPCO 1995—writ petition disposed—no costs.
Best Laboratories Pvt Ltd vs. Union of India and others, Delhi High Court, Drugs Cases 2011(2) 1

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