The case surfaced after SVR Healthcare filed a complaint and CDSCO’s quality tests confirmed that the medicines supplied under the company’s name were “not of standard quality.”
The fraud came to light when Nitin Gupta, partner of SVR Healthcare, alerted authorities that his firm’s identity and batch numbers had been misused by Danish Lab. The medicines involved—Amoxycillin Trihydrate dispersible tablets and Cefixime tablets—were supplied as government stock to the Chief Medical Officer in Ladakh. In September, the Central Drugs Standard Control Organisation (CDSCO) declared the samples substandard after they failed multiple quality parameters.
A Special Investigation Team led by DSP Manvinder Thakur registered a case under Section 318(4) of the BNS for cheating and dishonest inducement, along with Sections 103 and 104 of the Trade Marks Act, 1999, for misuse of SVR Healthcare’s identity. Batch details showed the tablets were allegedly manufactured in October 2024, with expiry dates of September and November 2026—but SVR Healthcare confirmed it had never produced those lots.
CDSCO testing revealed serious lapses: the antibiotics failed assay content, disintegration tests, and showed irregular dispersion, raising major safety concerns. Investigators also found that the accused could not furnish any procurement documents from SVR Healthcare for 2024, indicating deeper fraudulent conduct.
Regulators have already issued a stop-manufacturing order to Danish Lab. According to Assistant Drugs Controller Garima Sharma, earlier inspections of the unit—also operating under the name Dutch Formulation—had identified several compliance gaps, none of which had been corrected.
As per The Tribune report, the Paonta Sahib police and drug control authorities are now trying to determine the actual location where the substandard medicines were produced, suggesting the possibility of a wider illegal manufacturing network.
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