Govt Pharma Firm MD Arrested in Alleged Rs 15 Lakh Bribery Case
New Delhi: The Central Bureau of Investigation (CBI) has arrested Anurag Danayak, the Managing Director of state-run Karnataka Antibiotics and Pharmaceuticals Limited (KAPL), on allegations of demanding and accepting a bribe from one of the company's authorised service agents. He was taken into custody on Thursday following a trap operation conducted by the agency.
The accused Managing Director had demanded an undue advantage of around Rs. 15 lakhs from a Bhopal based firm which is an authorized service agent of KAPL and engaged in the supply of medicines to the govt. institutions in the State of Madhya Pradesh.
The bribe amount was demanded for approving the Service Agent Agreement of the firm as well as an application for assigning additional institutions to firm which were pending for renewal for the current financial year and as a cut on the commission received by the firm from the sale of medicines in the current year.
The accused managing director was caught red-handed from Noida while accepting an undue advantage of Rs. 5 Lakh as part payment of the demanded bribery amount of Rs. 15 Lakh.
The CBI initiated the investigation after receiving a complaint on July 10 from Bhopal-based Pharma Care, an authorised service agent of KAPL. In the complaint, the firm alleged that Danayak demanded 60 per cent of the commission it had earned from the sale of medicines between February and June 2026. The complaint further stated that he sought an advance payment in return for renewing the firm's Service Agent Agreement, processing its pending renewal application for 2026-27, and allotting additional government healthcare institutions in Madhya Pradesh.
The Indian Express reported that Harsh Kaushik, who manages Pharma Care, alleged in the complaint that Danayak repeatedly contacted him through WhatsApp calls and warned that the firm's Service Agent Agreement would not be renewed and no additional government institutions would be allotted unless the demanded bribe was paid.
“Searches were conducted at the residential and office premises of the accused in Bengaluru, Noida and Jabalpur. Around Rs 75 lakh in cash and foreign currency worth approximately Rs 4 lakh were seized from his Noida residence and office chamber in Bengaluru. Besides this, 697 grams of gold jewellery and coins worth around Rs 86 lakh, along with property documents relating to a residential flat of the accused, were also recovered,” the CBI said in its statement.
KAPL is a public sector pharmaceutical company jointly owned by the Government of India and the Government of Karnataka. It manufactures and supplies medicines and pharmaceutical products under various government healthcare programmes and caters to public health institutions across the country.
Danayak was appointed as Managing Director of KAPL in early 2025 after being selected by the Public Enterprises Selection Board (PESB). The CBI is continuing its investigation into the matter.
