2024 Supreme(Online)(Mad) 60593
IN THE HIGH COURT OF JUDICATURE AT MADRAS
S.M.SUBRAMANIAM, C.KUMARAPPAN, JJ
M/s.Practo Technologies Pvt.Ltd. – Appellant
Versus
The Tamil Nadu Chemists and Druggists Association – Respondent
W.A.Nos.2807 to 2810|W.A.No.2814|W.A.No.2818|C.M.P.Nos.23341|23345|23346|23350|23369|23435 of 2018|W.P.No.28176 of 2018
For the Appellants/Petitioners: Mr.Arjun Suresh
For the Respondents: Mr.S.K.Chandrakumar, Mr.N.Ramesh, Mr.K.Tippu sulthan, Mr.Vijay Narayan, Mr.Satish Parasaran, Mr.M.S.Krishnan, Mr.Thriyambak Kannan, Mr.M.S.Krishnan, Mr.Ankur Khandelwal, Mr.Naveenkumar Murthi
The necessity for rapid regulatory measures in online drug sales to protect public health and safety is paramount, emphasizing compliance with licensing standards.
Headnote:The court analyzed the implications of the underlying statutory framework governing the online sale of drugs and emphasized the need for an expeditious regulatory policy. It recognized the complexity surrounding online pharmacy trade due to unregulated practices posing health risks, thus finding that immediate policy formulation is crucial. The court specified that online drug sales must proceed through licensed chemists and outlined that enforcement remains critical. The court ultimately confirmed a status quo until the new policy is implemented and ordered a resolution in line with prevailing legal standards.
| Table of Content |
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| 1. initiation of intra-court appeals regarding prior writ decision. (Para 1) |
| 2. need for timely regulatory action influenced by public health interests. (Para 2) |
| 3. process ongoing for policy finalization on online drug trading. (Para 3) |
| 4. concerns over unregulated sales and its impact on public health. (Para 4) |
| 5. clarification on the role of licensed traders in online drug sales. (Para 5) |
| 6. instructions to expedite policy notification while maintaining the status quo. (Para 9) |
| 7. conclusion on dismissing appeals and closing petitions. (Para 10) |
COMMON JUDGMENT
(Common judgment of the Court was made by S.M.SUBRAMANIAM, J.
The present intra-court appeals on hand have been instituted challenging the order dated 17.12.2018 passed in W.P.No.28176 of 2018.
2. The writ court found it becomes necessary for Central Government to notify the Rules at the earliest in the interest of the public and the online drug trade. Direction was issued to the Union of India, Department of Health and Family Welfare and Central Drug Standard, Control Organization, Directorate General of Health Services to notify the proposed Drugs and Cosmetics Amendment Rules, 2018 in the Gazette at the earliest. Thereafter, the stakeholders namely, persons doing trade in online pharmacy have to obtain respective licenses in the manner prescribed in the Rules to be notified. The draft rules framed by the Central Government is yet to be notified. Thus, the online traders are bound to not proceed with their business in online pharmacy. Since online trading of Drugs and Cosmetics was prohibited by the writ court, the present writ appeals came to be instituted.
3. Mr.N.Ramesh, the learned Central Government Standing Counsel would submit that the process of finalising the draft rules are in progress. The Government of India has taken a decision to frame new comprehensive policy covering all the issues raised between the traders and the public at large keeping the interest of public in mind. Since, the issues involved between the parties are complex in nature, it took some time for the Government of India to finalise the new policy proposed.
4. The respective learned Counsels appearing on behalf of the contesting respondents would state that no action has been taken by the Government of India for the past 8 years. Online sale of drugs are causing concern to the public at large and many unlicensed Druggists are selling drugs online in an unregulated manner, which is unsafe and may result in health hazards. There is no mechanism to regulate their trade. Therefore, long delay would result in health issues among the public at large.
5. Mr.Satish Parasaran, Mr.M.S.Krishnan and Mr.Vijay Narayan the respective learned Senior Counsels appearing on behalf of the appellants/Companies would submit that drugs through online mode are being sold only by the licensed Druggists and Chemists. Unlicensed Druggists and Chemists are not permitted to sell drugs through online. In other words, the drugs and cosmetics are routed through the licensed traders and in the event of any complaint, actions have to be initiated against the individual offenders by the competent Authority in the manner known to law. It is made clear that drugs and cosmetics sold online must be routed through licensed Druggists and Chemists and in the event of information or complaint regarding violations, actions are to be initiated.
6. Mr.N.Ramesh, learned Standing Counsel would submit that the High Court of Delhi vide its order dated 04.03.2024 passed in the matter of CM APPL.No.13527 of 2024 in W.P.(C) No.11711 of 2018 has stated that in pursuance to the last order dated 16.11.2023, the Joint Secretary, Ministry of Health and Family Welfare is personally present and prayed for four months further time for framing the policy for online sale of drugs as per the draft notification dated 28.08.2018.
7. Pursuant to the submission before the Delhi High Court by the Department of Health and Family Welfare, Union of India,