# M/S Marion Biotech Pvt Ltd & Ors. Revisionists v. Union of India & Anr

- **Citation:** (2026) 1 ILRA 1284
- **Court:** High Court of Judicature at Allahabad
- **Decided:** 2026-01-14
- **Bench:** Harvir Singh
- **Source:** https://unisonlegal.in/judgment/allahabad-high-court/m-s-marion-biotech-pvt-ltd-ors-revisionists-v-union-of-india-anr-54779
- **Pages:** 15

## Text

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1284 INDIAN LAW REPORTS ALLAHABAD SERIES
proceed to hear and decide it, unless the Chief Justice has also assigned to the Judge, to hear and
decide the petitions under Article 227/528 BNSS. If not so assigned, the learned Judge may, in his
discretion, direct the petition to be treated as one under Article 227/528 BNSS for being placed
before the learned Judge having assignment.

22. This Court is having only jurisdiction under Article 226 of the Constitution of India. The
roster is prepared by the Chief Justice of the High Court and it is not open to be overstepped by the
any Court. The roster system is based on Constitutional Convention and Rules of this Court /
Supreme Court.

23. It is an admitted fact that this Court is not having twin jurisdiction one under Article 226
of the Constitution and other under Article 227/528 BNSS, therefore, this Court has only
jurisdiction under Article 226 of the Constitution of India as assigned by the Chief Justice.

24. Taking into consideration the aforesaid principle of law, clarification of Hon'ble the
Supreme Court and the facts and materials available on record, we are of the opinion that the
instant writ petition is not maintainable.

25. Accordingly, the instant writ petition is dismissed as not maintainable.

26. The petitioner is at liberty to move an appropriate application or petition before the
appropriate Courts to quash the cognizance order.
----------
(2026) 1 ILRA 1284
REVISIONAL JURISDICTION
CRIMINAL SIDE
DATED: ALLAHABAD 14.01.2026

BEFORE

THE HON'BLE HARVIR SINGH, J.

Criminal Revision No. 4884 of 2024 & other connected cases

M/S Marion Biotech Pvt Ltd & Ors. ...Revisionists
Versus
Union of India & Anr. ...Opposite Parties

ISSUE FOR CONSIDERATION
Whether the cognizance and summoning order passed by the Chief Judicial Magistrate, in Complaint Case,
against directors and officials of company was valid, or vitiated by procedural irregularities and lack of judicial
application of mind?

HEADNOTES
Criminal Law - Criminal Procedure Code, 1973 - Sections - 397 - Indian Penal Code, 1860 -
Section 320, - Drugs and Cosmetics Act, 1940, - Sections - 16, 17-A, 17-B, 17-D, 17-E, 18-A, 18B, 18(a)(i), 22, 24, 26-A, 27(a), 27(b)(i), 27(b)(ii), 27(c), 27(d), 28, 28-A, 28-B, 32, 34, 78 -
Criminal Revision - filed by directors and officials of the company - against cognizance and summoning order -
1 All. M/S Marion Biotech Pvt Ltd & Ors. Vs. Union of India & Anr.
1285
Complaint Case - lodged by the Drugs Inspector - alleging various violations of the Drugs and Cosmetics Act
including manufactures & sale of drugs - FIR registered - offences relating to manufacture and sale of drugs
"not of standard quality," alleged adulteration with Ethylene Glycol/Diethylene Glycol - investigation revealed
use of industrial-grade propylene glycol without licence, failure to produce Certificate of Analysis, - and WHO
alert linking the drugs to child deaths abroad - chargesheet - trial initiated - applicants pleaded that
complaint lacked sanction, sampling was irregular, test report defective, and directors not specifically liable -
Court finds that Drugs Inspector acted within statutory mandate, analytical report sufficient for prima facie
case, directors fall within Section 34 liability, and objections are mere technicalities - Enforcement of public
health laws cannot be thwarted by technical objection - and Directors' are wholly and fully responsible for
conduct of the business of the company and the day to day working - the revisionist will have ample
opportunity to redress themselves at the time of framing of the charge and the stage of charge is yet to come
- held that, technical objections cannot override statutory purpose - hence, summoning order valid and in
accordance with law - accordingly, all revisions are dismissed being devoid of merit. (Para - 23, 24, 25, 26,
27, 28)
Revision Dismissed. (E-11)

CASE LAW CITED
GHCL Employees Stock Option Trust v. India Infoline Ltd. (2013) 4 SCC 505
Pepsi Foods Ltd. v. Special Judicial Magistrate (1998) 5 SCC 749
Lalankumar Singh v. State of Maharashtra (2022 SCC OnLine SC 1383)
Medicamen Biotech Ltd. v. Rubina Bose (2008) 7 SCC 196
Mohd. Shabir v. State of Maharashtra (1979) 1 SCC 568
Drugs Inspector v. Chimanlal & Co. AIR 1965 SC 1958
Other Allahabad HC precedents (1950s).
Amit Kapoor v. Ramesh Chander (2012) 9 SCC 460
State of Orissa v. Debendra Nath Padhi (2005)
CBI v. Aryan Singh (2023 SCC OnLine SC 379)
Abhishek v. State of M.P. (2023 SCC OnLine SC 1083)
Gulam Mustafa v. State of Karnataka (2023 SCC OnLine SC 603)
Sanofi India Ltd. v. Union of India (2021, Delhi HC)
State of Maharashtra v. Ghanshyam K. Zaveri (SC 1993; Bom HC 2000).

LIST OF ACTS
Drugs and Cosmetics Act, 1940 - Indian Penal Code, 1860.

LIST OF KEYWORDS
Criminal Revision - Cognizance, Summoning Order, Prima Facie Case, Adulterated Drugs, Spurious Drugs, Not
of Standard Quality, Ethylene Glycol, Diethylene Glycol, Public Health, Directors' Liability, Procedural
Irregularities, Rule 46, Section 34, Vicarious Liability - Enforcement of public health laws - thwarted - health
system - violations and deviations - fatal irregularity - establish guilt - legal and factual plausibility - ample
opportunity - to redress themselves - devoid of merit - liable to be dismissed.

CASE ARISING FROM
Complaint Case No. 2462 of 2024 (Union of India v. Marion Biotech Pvt. Ltd. & Others), Police Station Phase
III, Noida, District Gautam Budh Nagar.

APPEARANCE OF PARTIES
Counsel for Appellant(s): Shri Niraj Kumar Singh (holding brief of Sri Saroj Kumar Yadav).
Counsel for Respondent(s): Shri R.P.S. Chauhan.

(Delivered by Hon'ble Harvir Singh, J.)
1286 INDIAN LAW REPORTS ALLAHABAD SERIES

1. Heard Sri Niraj Kumar Singh, holding brief of Sri Saroj Kumar Yadav, learned counsel for
the revisionists, and Sri R.P.S. Chauhan, learned counsel for the opposite party-Union of India, and
perused the record.

2. This Criminal Revision is directed against the impugned cognizance and summoning order
dated 19.01.2024 passed by the learned Chief Judicial Magistrate, Gautam Budh Nagar in
Complaint Case No. 2462 of 2024 (Union of India vs. Ms Marion Biotech Pvt. Ltd. & Others),
under Sections 18(a)(i), 16, 17-A, 17-B, 18-A, 18-B, and punishable under Sections 27(a), 27(b)(i),
27(b)(ii), 27(c), 27(d), 28, 28-A, and 28-B of the Drugs and Cosmetics Act, 1940, Police Station
Phase III, Noida, District Gautam Buddh Nagar.

3. The brief facts of the case, are that the revisionists, being directors and officials of M/s.
Marion Biotech Pvt. Ltd., (hereinafter referred as Company) they were summoned, pursuant to a
complaint filed by the Drugs Inspector, alleging various violations including manufacture/sale of
drugs declared "not of standard quality" and further invoking sections related to adulterated and
spurious drugs, procedural non-compliance, and liability of company officials. The case is
primarily founded on a test analysis report declaring certain samples "not of standard quality,"
resulting in proceedings under relevant penal Sections of the Drugs and Cosmetics Act, 1940
(hereinafter referred as "Act").

4. Learned counsel for the revisionists submits, that the learned Magistrate has taken
cognizance and issued summons without proper application of judicial mind. It is contended, that
the complaint does not disclose any specific averment, showing that the directors or officers of the
company were in charge of and responsible for the conduct of the business of the company at the
relevant point of time, as required under Section 34 of the Drugs and Cosmetics Act, 1940. It is
further argued, that the complaint has been filed without obtaining valid sanction, under Section 32
of the Act, and hence, the entire proceedings are vitiated by procedural irregularities.

5. The complaint, it is submitted, does not connect the alleged offences to specific acts of the
revisionists; their roles, especially as Directors or functionaries, are not detailed with reference to
the overt acts justifying prosecution under the Drugs and Cosmetics Act. The order is called a
"manifestation of mechanical appreciation of facts," reflecting abdication of judicial duty in
scrutinizing the record.

6. Learned counsel for the revisionists has submitted that the only finding by test analysis is
that, the drug was "not of standard quality." Nowhere has the sample been found "adulterated" or
"spurious," as defined in Sections 17A and 17B respectively. Thus, invocation of harsher sections
(i.e., Sections 17A, 17B, 27a) is not permissible. Each section operates under different factual
circumstances, and their criteria are exclusionary.

7. Learned counsel for the revisionists has, next submitted that the test analysis report, relied
on, as the foundation of the complaint, lacks compliance with Rule 46 of the Drugs Rules, 1945, as
much as, in that, it does not disclose the full protocol, methods, or results in detail. Further, the
examination for Diethylene Glycol and Ethylene Glycol in this case was not mandated, but done
1 All. M/S Marion Biotech Pvt Ltd & Ors. Vs. Union of India & Anr.
1287
only upon special request by the Drug Inspector, raising further questions about the standard
procedure being adopted.

8. Learned counsel for the revisionists has further submitted, that the sample in question was
taken from the warehouse and control room, not from premises stipulated under Section 22 (such as
sales/distribution points). This is claimed to be a "glaring procedural irregularity." Such deviation,
the petition asserts, substantially prejudices the accused and vitiates further proceedings, since the
Act prescribes these safeguards for fair prosecution.

9. Learned counsel for the revisionists has next submitted, that the complaint is described as
"bald and fleeting" in asserting Directors' and officials' liability, failing to allege direct
involvement, consent, connivance, or neglect required for criminal liability of company officials.
Mere designation, the plea holds, does not attract liability; what is needed is proof of active
participation or deliberate negligence, either in aid or in furthering of the offence.

10. On the other hand, learned counsel appearing on behalf of the Union of India has
submitted, that the Drugs Inspector, operated well within his statutory mandate, collecting samples
and initiating prosecution based on objective lab analysis. The complaint lays out the basis for
prosecution, and the analytical report constitutes adequate prima facie evidence for the case to
proceed. The prosecution submits that the adequacy of evidence or precise procedural compliance
can only be tested during trial, not at the summoning stage, as a prima facie case is to be seen at the
time of summoning order, while conducting enquiry at that stage by the learned Magistrate.

11. Learned counsel appearing on behalf of the Union of India has further submitted, that
having a license to manufacture the certain drugs is not absolute. However, the company has to
comply with the conditions of license is more important and, if there is any violation in respect of
the conditions given in the license itself, an appropriate case can be made out against the
revisionists, as far as, the revisionists have violated the conditions of license, as enumerated in
Section 78 of the Act and all those conditions having referred in the counter affidavit filed by the
opposite party nos. 1 and 2. Learned counsel for the Union of India has next submitted that the use
of Ethylene Glycol in manufacturing the cough syrup was completely prohibited under the
applicable British pharmacopoeia. At the time of manufacturing the drugs in question in September
2021, the British pharmacopoeia 2020 was applicable." Learned counsel for the Union of India has
also referred to the quality of samples i.e. the sample in question was manufactured in September
2021 at that time. Indian Pharmacopoeia 2018 was enforced and applicable on manufacturing and
export of drugs by the revisionist company.

According to IP 2018, "No peaks corresponding to ethylene glycol and diethylene glycol are
obtained in the chromatogram obtained with the test solution" in the determination of DEG and EG
in Propylene Glycol.

Ethylene Glycol and Diethylene Glycol was completely prohibited for using in manufacturing
of DOK 1 Max Syrup. Whereas, according to the test reports dated 14.01.2023 of RDTL
Chandigarh, have substantial amount of Di-Ethylene Glycol & Ethylene Glycol, which is toxic and
harmful:
1288 INDIAN LAW REPORTS ALLAHABAD SERIES

Sample No.

B. No.

Form 13

Remarks

NZSMP/PB/A-022/2022-23

DXS2105

CH/DLS/2022/394

The sample contains Ethylene Glycol
15.87% w/v

NZSMP/PB/A-023/2022-23

DXS2106

CH/DLS/2022/398
The sample contains Ethylene Glycol
34.28% w/v

NZSMP/PB/A-024/2022-23

DXS2107

CH/DLS/2022/396

The sample contains Di-Ethylene
Glycol 4.09% & Ethylene Glycol
29.32% w/v

NZSMP/PB/A-026/2022-23

DXS2108

CH/DLS/2022/397

The sample contains Di-Ethylene
Glycol 8.36% & Ethylene Glycol
24.97% w/v

The DEG and EG are not the content of PG. Both DEG and EG are toxic and poisonous for
health.

Propylene Glycol (PG) is a viscous, colorless liquid. It is almost odourless and has a sweet
taste. PG is approved and used as a vehicle/excipient for topical and oral pharmaceutical
preparations and cosmetics products.

Ethylene Glycol (EG) and Diethylene Glycol (DEG) are produced from same starting
material, Ethylene. EG and DED are used in the production of coolants for engines (brake fluid,
antifreeze, lubricants), wallpaper strippers, inks etc., where, most of these products are labelled as
"harmful, if swallowed. EG and DEG are toxic to human health, their harmful effect may result in
coma, seizure, metabolic acidosis and renal failure.

Ingestion of the glycols lead to systemic toxicity beginning with CNS effects, followed by
cardiopulmonary effects, and finally renal failure. The progression of toxic effects can be roughly
divided into the following three stages, although overlap is possible. The first phase consists of
gastrointestinal symptoms with evidence of inebriation and developing metabolic acidosis. If
poisoning is pronounced, patients can progress to a second phase with more severe metabolic
acidosis and evidence of a emerging renal injury, which, in the absence of appropriate supportive
care, can lead to death.

The US-FDA guidance document dated May 2023 states that "a drug manufacturer must
perform the DEG and EG limit test on representative samples of each shipment of each lot of the
component and shall ensure that the component contains no more than 0.10% of DEG and EG,
before using that component in drug product manufacturing. Further, Bureau of Indian Standard
(BIS) also prescribed PG monograph, Food Grade, where Ethylene Glycol is required to be Absent.

12. Learned counsel for the Union of India has further submitted that, at the time of joint
investigation conducted by CDSCO and State Drugs Control, U.P. the revisionist company has
failed to produce the manufacturer/ supplier Certificate of Analysis of Propylene Glycol in
violation of Section 18-B. Purchasing and using of industrial grade/non-pharmaceutical grade
propylene glycol from M/s Maya Chemtech India Pvt. Ltd., a firm, which does not hold any drug
licence essentially required to sale/distribute ingredients to manufacture a drug, which was used in
1 All. M/S Marion Biotech Pvt Ltd & Ors. Vs. Union of India & Anr.
1289
production of syrup DOC Max 1. Industrial Grade PG is completely prohibited in manufacturing of
drugs. During investigation, the company could not produce the manufacturer/supplier certificate
provided as CoA.

The Ethylene Glycol and Diethylene Glycol are not available in Propylene Glycol, for the
reasons that the same are poisonous and injurious to the human health.

13. The World Health Organization (WHO) had issued Medical Product Alert N°1/2023 vide
Ref.RPQ/REG/ISF/Alert N°1/2023 dated 11.01.2023 related to two contaminated liquid products
i.e. AMBRONOL syrup and DOK-1 Max Syrup manufactured by the Applicants Company i.e. M/s
Marion Biotech Private Limited and also informed about risk associated with these products, which
may results in serious injury or death due to presence of unacceptable amount of di-ethylene Glycol
(DEG) and/or Ethylene Glycol (EG) as contaminants with the use of industrial grade/nonpharmaceutical grade propylene glycol and Glycerin and also submitted, that the
Applicants/Accused Persons used the industrial grade/non-pharmaceutical grade propylene glycol
and Glycerin for manufacturing the drugs in question. Hence, the Applicants/Accused Persons
manufactured the Adulterated and Spurious drugs. Further, It is submitted that, if the
Applicants/Accused Persons are not satisfied with the Govt. Analyst Report, then they have to avail
the opportunity to challenge the Govt. Analyst Report, but they have not challenged the Govt.
Analyst Report, within a stipulated time of 28 days, as per Drugs & Cosmetics Act, 1940. As such
the opposite party filed the present complaint along with the documentary evidence, before the
learned Trial Court with the panel section of Drugs and Cosmetics Act & Rules framed there under.
Learned counsel for the Union of India emphasized the fact and laid stress upon the DOK-I Max
syrup, as manufactured by the revisionists was found poisonous in Uzbekistan, which resulted in
death of more than 18 children. Learned counsel for the Union of India argued that, at the time of
passing of the cognizance/summoning order, the learned Magistrate has come to the conclusion
that, a prima-facie case is made out against the accused persons and the learned Magistrate is not
required to conduct the mini trial at this stage and further submitted that the
cognizance/summoning order passed by the learned Magistrate is in accordance with law and calls
for no interference by this Court, as the revisionist will have ample opportunity to redress
themselves at the time of framing of the charge and the stage of charge is yet to come. Learned
counsel for the Union of India has further submitted that the accused persons, revisionist herein are
the Directors, Officers and the Employees of the company and therefore, they are closely
associated with day to day working of the company and in the absence of the Directors and the
responsible persons, there would be no existence of the company, as far as functionaries and
operational activities are concerned. Learned counsel for the Union of India has next submitted
that, it is not the case of the revisionists, that the revisionists are not at all aware of the operations
and business being conducted in the company, as they work for gain and profit and enjoy the profit
accordingly. Learned counsel for the Union of India has next submitted that a narrow interpretation
of regulatory provisions would defeat the public purpose underlying the Act. Enforcement of public
health laws cannot be thwarted by technical objections relating to mere technicalities. Learned
counsel for the Union of India has further submitted that the action taken by the complainant,
strengthens public health enforcement by curbing technical defences in regulatory prosecutions.
Learned counsel for the Union of India has further submitted that in view of the fact that
substandard drugs encounter a major stringent issue for the health system and the violations and
1290 INDIAN LAW REPORTS ALLAHABAD SERIES
deviations cannot be ignored. The matter is at the initial stage, and there are specific allegations of
the creation of forged test lab reports to claim substandard drugs of standard quality; those being
subject matter of trial, therefore, on perusal of the contents of the impugned summoning order, the
ingredients of commission of cognizable offence are prima- facie made out. Learned counsel for
the Union of India has next submitted that the allegations made in the complaint, do clearly
constitute a cognizable offence justifying the registration of complaint and the investigation
thereon, and this does not fall under any of the categories of cases formulated by the Supreme
Court in State of Haryana v. Bhajan Lal: AIR 1992 SC 604, as argued by the revisionists, calling
for the exercise of extraordinary or inherent powers of the High Court to quash the impugned
summoning order in the case. Otherwise also, it is not the case of the revisionists that, even if the
allegations made in the complaint, are taken at their face value and-accepted in their entirety, do
not prima facie constitute any offence or make out a case, against the accused even then sufficient
material is available to summon the accused persons. The revisionists have also not pleaded any
express bar engrafted in any provisions of the Code or any other law, including the Drugs and
Cosmetics Act, to the institution and continuance of the proceedings, therefore, all the revisionists
have been summoned rightly and the revision is devoid of merits, and hence liable to be dismissed.

14. Learned counsel for the Union of India has further submitted, that the process of
collecting, sealing, sending the sample for analysis, and reporting were as per prescribed norms.
The technicalities raised about sampling location or manner are characterized, as not having any
procedural fatal irregularity, especially in criminal regulatory prosecutions governed by public
safety standards.

15. Learned counsel for the Union of India has next submitted that the learned Magistrate,
upon perusal of the complaint and supporting documents, found sufficient grounds to proceed
against the revisionists. The requirement, at this stage is not to establish guilt, but to put the process
in motion, when the complaint and annexed evidence shows legal and factual plausibility of the
alleged offences to be tried upon the revisionists, under relevant sections under the Drugs and
Cosmetics Act, 1940.

16. Learned counsel for the Union of India has further submitted that, by statutory provisions,
those responsible for the companys affairs i.e. Directors, senior functionaries are within the
sweep of Section 34 for offences committed under the Act, and they are wholly and fully
responsible for conduct of the business of the company. The prosecution maintains that, vicarious
liability arises due to any negligent act and omission committed in discharge of the duty and
carrying out the business for the pecuniary gain of the company. Thus liability in civil and criminal
prosecutions are different and may stand on different footings.

17. Learned counsel for the Union of India has next submitted that the application of various
penal section is justified based on the overall conduct, findings, and the entire material collected
during the course of investigation and documentation. The details of which section finally applies,
is a matter for evidence and framing of charge and a prima facie case is to be seen at the time of
cognizance and summoning of the accused persons.
1 All. M/S Marion Biotech Pvt Ltd & Ors. Vs. Union of India & Anr.
1291

18. Learned counsel for the Union of India has further submitted that the detailed appreciation
can be finally conducted and concluded during the course of trial and the Magistrates discretion
at summoning stage should not be lightly interfered with, unless there is palpable illegality. In the
present case, a prima facie case has been made out against the accused persons, at this stage of
summoning the accused/revisionists and the order calls for no interference by this Court.

19. Learned counsel for the revisionists relied upon the following judgments of Hon'ble
Supreme Court:-

(i). M/s GHCL Employees Stock Option Trust vs M/s India Infoline Ltd: (2013) 4 SCC
505.

(ii) M/s Pepsi Foods Ltd. & Anr. vs Special Judicial Magistrate & Ors.: (1998) 5 SCC
749.

(iii) Lalankumar Singh vs The State of Maharashtra: 2022 SCC OnLine SC 1383.

(iv) Raj Kishan vs State: 1959 SCC OnLine All 152.

(v) Dharam Deo Gupta vs State: All. HC Crl. Rev. No. 143/1956.

(vi) Din Dayal vs State: All. HC Crl. Rev. No. 752/1954.

(vii) State of Maharashtra vs Ghanshyam K. Zaveri & Anr.: (1993) 1 SCC 526.

(viii) Mohd. Shabir vs State of Maharashtra: (1979) 1 SCC 568.

(ix) Drugs Inspector vs Chimanlal & Co. & Ors : AIR 1965 SC 1958.

(x) M/s Medicamen Biotech Ltd. & Anr. vs Rubina Bose, Drug Inspector: (2008) 7
SCC 196.

20. Learned counsel for the opposite party no. 2-Union of India relied upon the following
judgments of Hon'ble Supreme Court as well as Hon'ble High Courts:-

(i) Amit Mittal and Another Vs. State of U.P. And Another in Application U/s. 482
Cr.P.C. No. 22832 of 2015.

(ii) State of Maharashtra Vs. Ghanshyam K. Zaveri and Another : 2000 SCC OnLine
Bom 748.

(iii) Amit Kapoor Vs. Ramesh Chander: (2012) 9 SCC 460.

(iv) Gulam Mustafa Vs. State of Karnataka : 2023 SCC OnLine SC 603.

(v) CBI Vs. Aryan Singh: 2023 SCC OnLine SC 379.

(vi) Abhishek Vs. State of M.P. : 2023 SCC OnLine SC 1083.

(vii) Sanofi India Ltd. Vs. Union of India: (2021) 3 HCC ( Del ) 691.

(viii) State of Orrisa Vs. Debendra Nath Padhi, Appeal (Crl.) No. 497 of 2001 (SC)

21. Having considered the rival contentions and after going through the order of cognizance
and summoning, it would be appropriate to look into the relevant sections of the Drugs and
Cosmetics Act, 1940,ds as enumerated below:-

"16. Standards of quality.-(1) For the purposes of this Chapter, the expression
"standard quality" means-

(a) in relation to a drug, that the drug complies with the standard set out in 5[the Second
Schedule], and
1292 INDIAN LAW REPORTS ALLAHABAD SERIES

(b) in relation to a cosmetic, that the cosmetic complies with such standard as may be
prescribed.]

(2) The [Central Government], after consultation with the Board and after giving by
notification in the Official Gazette not less than three months ' notice of its intention so to do, may
by a like notification add to or otherwise amend 5[the Second Schedule] for the purposes of this
Chapter, and thereupon 5[the Second Schedule] shall be deemed to be amended accordingly.

17. Misbranded drugs.-For the purposes of this Chapter, a drug shall be deemed to be
misbranded,-

(a) if it is so coloured, coated, powdered or polished that damage is concealed or if it is
made to appear of better or greater therapeutic value than it really is; or

(b) if it is not labelled in the prescribed manner; or

(c) if its label or container or anything accompanying the drug bears any statement,
design or device which makes any false claim for the drug or which is false or misleading in any
particular.

17A. Adulterated drugs.- For the purposes of this Chapter, a drug shall be deemed to be
adulterated,-

(a) if it consists in whole or in part, of any filthy, putrid or decomposed substance; or

(b) if it has been prepared, packed or stored under insanitary conditions whereby it may
have been contaminated with filth or whereby it may have been rendered injurious to health; or

(c) if its container is composed, in whole or in part, of any poisonous or deleterious
substance which may render the contents injurious to health; or

(d) if it bears or contains, for purposes of colouring only, a colour other than one which
is prescribed; or

(e) if it contains any harmful or toxic substance which may render it injurious to health;
or

(f) if any substance has been mixed therewith so as to reduce its quality or strength.

17B. Spurious drugs.-For the purposes of this Chapter, a drug shall be deemed to be
spurious,-

(a) if it is manufactured under a name which belongs to another drug; or

(b) if it is an imitation of, or is a substitute for, another drug or resembles another drug
in a manner likely to deceive or bears upon it or upon its label or container the name of another
drug unless it is plainly and conspicuously marked so as to reveal its true character and its lack of
identity with such other drug; or

(c) if the label or container bears the name of an individual or company purporting to be
the manufacturer of the drug, which individual or company is fictitious or does not exist; or

(d) if it has been substituted wholly or in part by another drug or substance; or

(e) if it purports to be the product of a manufacturer of whom it is not truly a product.

17C. Misbranded cosmetics.-For the purposes of this Chapter, a cosmetic shall be
deemed to be misbranded,-

(a) if it contains a colour which is not prescribed; or

(b) if it is not labelled in the prescribed manner; or
1 All. M/S Marion Biotech Pvt Ltd & Ors. Vs. Union of India & Anr.
1293

(c) if the label or container or anything accompanying the cosmetic bears any state- ment
which is false or misleading in any particular.

17D. Spurious cosmetics.-For the purposes of this Chapter, a cosmetic shall be deemed
to be spurious,-

(a) if it is manufactured under a name which belongs to another cosmetic; or

(b) if it is an imitation of, or a substitute for, another cosmetic or resembles another
cosmetic in a manner likely to deceive or bears upon it or upon its label or container the name of
another cosmetic unless it is plainly and conspicuously marked so as to re veal its true character
and its lack of identity with such other cosmetic; or

(c) if the label or container bears the name of an individual or a company purporting to
be the manufacturer of the cosmetic which individual or company is fictitious or does not exist; or

(d) if it purports to be the product of a manufacurer of whom it is not truly a product.]

[17E. Adulterated cosmetics. - For the purposes of this Chapter, a cosmetic shall be
deemed to be adulterated,-

(a) if it consists in whole or in part, of any filthy, putrid or decomposed substance; or

(b) if it has been prepared, packed or stored under insanitary conditions whereby it may
have been contaminated with filth or whereby it may have been rendered injurious to health; or

(c) if its container is composed, in whole or in part, of any poisonous or deleterious
substance which may render the contents injurious to health; or

(d) if it bears or contains, for purposes of colouring only, a colour other than one which
is prescribed; or

(e) if it contains any harmful or toxic substance which may render it injurious to health;
or

(f) if any substance has been mixed therewith so as to reduce its quality or strength.]

18. Prohibition of manufacture and sale of certain drugs and cosmetics.-From such
2date as may be fixed by the State Government by notification in the Official Gazette in this behalf,
no person shall himself or by any other person on his behalf-

(a) 3[manufacture for sale or for distribution, or sell, or stock or exhibit or offer for
sale,] or

Distribute-

[(i) any drug which is not of a standard quality, or is misbranded, adulterated or
spurious;

[(ii) any cosmetic which is not of a standard quality or is misbranded, adulterated or

spurious;]]

[(iii) any patent or proprietary medicine, unless there is displayed in the prescribed
manner on the label or container thereof 3[the true formula or list of active ingredients contained
in it together with the quantities thereof];]

(iv) any drug which by means of any statement design or device accompanying it or by
any other means, purports or claims 7[to prevent, cure or mitigate] any such disease or ailment, or
to have any such other effect as may be prescribed;

[(v) any cosmetic containing any ingredient which may render it unsafe or harmful for
use under the directions indicated or recommended;
1294 INDIAN LAW REPORTS ALLAHABAD SERIES

(vi) any drug or cosmetic in contravention of any of the provisions of this Chapter or any
rule made thereunder;]

(b) [sell or stock or exhibit or offer for sale,] or distribute any drug 9[or cosmetic] which
has been been imported or manufactured in contravention of any of the provisions of this Act or
any rule made thereunder;

(c) 3[manufacture for sale or for distribution, or sell, or stock or exhibit or offer for
sale,] or distribute any drug 9[or cosmetic], except under, and in accordance with the conditions
of, a licence issued for such purpose under this Chapter:

Provided that nothing in this section shall apply to the manufacture, subject to prescribed
conditions, of small quantities of any drug for the purpose of examination, test or analysis :

Provided further that the [Central Government] may, after consultation with the Board,
by notification in the Official Gazette, permit, subject to any conditions specified in the notification,
the [manufacture for sale or for distribution, sale, stocking or exhibiting or offering for sale] or
distribution of any drug or class of drugs not being of standard quality.

18A. Disclosure of the name of the manufacturer, etc.-Every person, not being the
manufacturer of a drug or cosmetic or his agent for the distribution thereof, shall, if so required,
disclose to the Inspector the name, address and other particulars of the person from whom he
acquired the drug or cosmetic.

18B. Maintenance of records and furnishing of information.-Every person holding a
licence under clause (c) of section 18 shall keep and maintain such records, registers and other
documents as may be prescribed and shall furnish to any officer or authority exercising any power
or discharging any function under this Act such information as is required by such officer or
authority for carrying out the purposes of this Act.

27. Penalty for manufacture, sale, etc., of drugs in contravention of this Chapter.-
Whoever, himself or by any other person on his behalf, manufactures for sale or for distribution, or
sells, or stocks or exhibits or offers for sale or distributes,-

(a) any drug deemed to be adulterated under section 17A or spurious under section
6[17B and which] when used by any person for or in the diagnosis, treatment, mitigation, or
prevention of any disease or disorder is likely to cause his death or is likely to cause such harm on
his body as would amount to grevious hurt within the meaning of section 320 o f the Indian Penal
Code (45 of 1860) solely on account of such drug being adulterated or spurious or not of standard
quality, as the case may be, shall be 7[punishable with imprisonment for a term which shall not be
less than ten years but which may extend to imprisonment for life and shall also be liable to fine
which shall not be less than ten lakh rupees or three times value of the drugs confiscated,
whichever is more]:

[Provided that the fine imposed on and released from, the person convicted under this
clause shall be paid, by way of compensation, to the person who had used the adulterated or
spurious drugs referred to in this clause:

Provided further that where the use of the adulterated or, spurious drugs referred to in
this clause has caused the death of a person who used such drugs, the fine imposed on and realised
from, the person convicted under this clause, shall be paid to the relative of the person who had
died due to the use of the adulterated or spurious drugs referred to in this clause.
1 All. M/S Marion Biotech Pvt Ltd & Ors. Vs. Union of India & Anr.
1295

Explanation.-For the purposes of the second proviso, the expression "relative" means-

(i) spouse of the deceased person; or

(ii) a minor legitimate son, and unmarried legitimate daughter and a widowed mother; or

(iii) parent of the minor victim; or

(iv) if wholly dependent on the earnings of the deceased person at the time of his death, a
son or a daughter who has attained the age of eighteen years; or

(v) any person, if wholly or in part, dependent on the earnings of the deceased person at
the time of his death,-

(a) the parent; or

(b) a minor brother or an unmarried sister; or

(c) a widowed daughter-in-law; or

(d) a widowed sister; or

(e) a minor child of a pre-deceased son; or

(f) a minor child of a pre-deceased daughter where no parent of the child is alive; or

(g) the paternal grandparent if no parent of the member is alive;]

(b) any drug-

(i) deemed to be adulterated under section 17A but not being a drug referred to in clause
(a),

Or

(ii) without a valid licence as required under clause (c) of section 18, shall be punishable
with imprisonment for a term which shall 1[not be less than three years but which may extend to
five years and with fine which shall not be less than one lakh rupees or three times the value of the
drugs confiscated, whichever is more]:

Provided that the Court may, for any adequate and special reasons to be recorded in the
judgment, impose a sentence of imprisonment for a term of 2[less than three years and of fine of
less than one lakh rupees];

(c) any drug deemed to be spurious under section 17B, but not being a drug referred to in
clause (a) shall be punishable with imprisonment for a term which shall 3[not less than seven years
but which may extend to imprisonment for life and with fine which shall not be three lakh rupees or
three times the value of the drugs confiscated, whichever is more]:

Provided that the Court may, for any adequate and special reasons to be recorded in the
judgment, impose a sentence of imprisonment for a term of 4[less than seven years but not less than
three years and of fine of less than one lakh rupees];

(d) any drug, other than a drug referred to in clause (a) or clause (b) or clause (c), in
contravention of any other provision of this Chapter or any rule made thereunder, shall be
punishable with imprisonment for a term which shall not be less than one year but which may
extend to two years 5[and with fine which shall not be less than twenty thousand rupees]:

Provided that the Court may, for any adequate and special reasons to be recorded in the
judgment, impose a sentence of imprisonment for a term of less than one year.

27A. Penalty for manufacture, sale, etc., of cosmetics in contravention of this Chapter.-
Whoever himself or by any other person on his behalf manufactures for sale or for distribution, or
sells, or stocks or exhibits or offers for sale-

(i) any cosmetic deemed to be spurious under section 17D or adulterated under section
17E shall be punishable with imprisonment for a term which may extend to three years and with
1296 INDIAN LAW REPORTS ALLAHABAD SERIES
fine which shall not be less than fifty thousand rupees or three times the value of the cosmetics
confiscated, whichever is more;

(ii) any cosmetic other than a cosmetic referred to in clause (i) in contravention of any
provisions of this Chapter or any rule made thereunder shall be punishable with imprisonment for
a term which may extend to one year or with fine which may extend to twenty thousand rupees, or
with both.

28. Penalty for non-disclosure of the name of the manufacturer, etc.-Whoever
contravenes the provisions of section 18A 2[or section 24] shall be punishable with imprisonment
for a term which may extend to one year, or 3[with fine which shall not be less than twenty
thousand rupees or with both.

28A. Penalty for not keeping documents, etc., and for non-disclosure of information.-
Whoever without reasonable cause or excuse, contravenes the provisions of section 18B shall be
punishable with imprisonment for a term which may extend to one year or [with fine which shall
not be less than twenty thousand rupees or with both].

28B.