IN THE HIGH COURT OF JAMMU & KASHMIR AND LADAKH AT SRINAGAR
RAJNESH OSWAL, J.
Sanjay Chibber – Appellant
Versus
UT of Ladakh through Drugs Inspector Kargil – Respondent
CRM(M) No. 365 of 2022 CrlM No. 1059 of 2022
Decided on : 24-09-2024
(A) Drugs and Cosmetics Act, 1940 - Sections 18(a)(i), 19(3), and 27(d) - Complaint against accused for distributing not of standard quality drug - Proceedings quashed against petitioner as the company was not arrayed as an accused, and no tampering was alleged - The court emphasized the importance of compliance with procedural requirements under the Act to avoid quashing of complaints. (Paras 1, 4, 5)
(B) Procedural Compliance - The court noted that many prosecutions under the Act fail due to non-compliance with procedural mandates, urging for better training of officers to prevent technical defects in complaints. (Paras 5)
ORDER :
1. The proceedings of the complaint titled as “State through Drugs Inspector District Kargil Vs. Ms. Sunita Dhawan and Ors.” under Section 18(a)(i) read with 27(d) of the Drugs and Cosmetics Act, 1940 and the order of issuance of process dated 25.03.2019 passed by the court of learned Chief Judicial Magistrate, Kargil (for short ‘the trial court’) have been impugned by the petitioner on the ground that the respondent has not arrayed the company ‘M/s Stride Health Care Pvt. Ltd’ as an accused in the complaint and in terms of mandate of Section 19(3) of the Drugs and Cosmetics Act, 1940, the proceedings against the petitioner cannot be continued in view of the admission made by the respondent in the complaint that the Drug in question was acquired from a license manufacturer/distributor and dealer by the company i.e. M/s Stride Health Care Pvt. Ltd and there is no allegation in the complaint that the petitioner had tampered with the seal of packed drug and that the same is also substantiated by the report of Government analyst. It is also urged by the petitioner that in a petition filed by accused no. 3 and 4 in the complaint, the coordinate Bench of this court has quashed the proceedings against them on identical grounds vide judgement dated 04.08.2022.
2. The respondent, besides narrating the factual aspects of the case, has also stated that the petitioner had distributed “not of standard quality drug”, as such, the present petition has no merit.
3. The grounds urged by the petitioner in the present petition have already been considered by a coordinate Bench of this court in the CRM(M) No. 01//2021 titled ‘Neena Gupta Arun, Kumar Gupta Vs. UT of Ladakh’ wherein the accused Nos. 3 and 4 in the complaint had assailed the criminal proceedings arising out of the same complaint on identical grounds.
4. The case of the petitioner is squarely covered by the judgement04.08.2022 of a coordinate Bench of this court, therefore on the same grounds the proceedings initiated in the form of complaint titled “State through Drugs Inspector District Kargil Vs. Ms. Sunita Dhawan and Ors.” are quashed qua the petitioner only.
5. Before parting, this Court would like to note that majority of the prosecutions initiated under the Drugs and Cosmetics Act, 1940 fail at the threshold only, in both the Union Territories of J&K and Ladakh, just because of non-compliance of the procedure envisaged under the Act. This court has come across, number of complaints wherein either the Company is not arrayed as an accused, as in the present case, or the Director(s) is/are arrayed as accused without making any averment in the complaint in respect of his/their role in the commission of offences. The defects pointed out by this court can be taken care of by providing the proper training to the officers concerned in respect of the technical requirements of law. This court hopes that Commissioner/Secretary, Health and Medical Education Department, Union Territory of Leh, shall examine and look into the concerns shown by this Court and take corrective measures so as to ensure that the complaints under the Drugs and Cosmetics Act, 1940, are not quashed at the initial stage only on account of technical defects .
6. A copy of this order shall be sent to the court of learned Chief Judicial Magistrate, Kargil and Commissioner/Secretary, Health and Medical Education Department, Union Territory of Leh.
7. Disposed of.
Proceedings under the Drugs and Cosmetics Act can be quashed if the company involved is not named as an accused and procedural compliance is not met.
The court emphasized the seriousness of the allegations and directed the trial court to conclude the trial within 6 months, despite acknowledging the delay in the proceedings.
A prima facie case may arise from additional documents, supporting liability despite insufficient initial allegations.
The court established that former directors cannot be held vicariously liable for offences committed after their tenure, and highlighted multiple procedural lapses that rendered the prosecution unsus....
The central legal point established in the judgment is the exemption of the drugs manufactured by the petitioner from the provisions of Chapter IV of the Drugs and Cosmetics Act, 1940 under Schedule ....
Provisions of Section 34 of Drugs and Cosmetics Act are also applicable to a partnership firm.
The central legal point established in the judgment is the importance of proving proper storage conditions to avoid liability for contravention of Section 18 of the Drugs and Cosmetics Act.
The court ruled that mandatory compliance with the statutory provisions in drug testing processes is essential; failure to do so invalidates prosecution.
Distributors of drugs are not liable for quality issues if they prove acquisition from a licensed manufacturer and proper storage, as per Section 19(3) of the Drugs and Cosmetics Act.
A Magistrate must conduct a preliminary enquiry under Section 202(1) of Cr. P.C before issuing process against an accused residing outside jurisdiction, even if cognizance can be taken for offences t....
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