The bitter battle between the pharma lobby body Indian Pharmaceutical Alliance (IPA) and the drug pricing regulator NPPA has escalated. The IPA has filed a contempt petition against the regulator for flouting the courts order regarding price control for non-scheduled formulations and issued demand notices to some pharma companies .
NPPA is the drug pricing regulator. As far as the petition goes, the IPA has said that the NPPA has committed a contempt of court order with regard to the August 2014 order of the Bombay High Court where they said that no coercive action should be taken against any pharma company belonging to the IPA with regards to the Para 19 of the Drug Price Control Order (DPCO).
The NPPA had issued guidelines on May 29 and subsequently about 108 formulations would come under price control under Para 19 of the DPCO. Now, in the interim what the petition by the IPA has said that NPPA has issued demand and show-cause notice to several pharma companies and among them are Panacea Biotec, Torrent Pharma as well as Cadilla.
Now what the NPPA is seeking is two penalties for NPPA and also IPAs seeking the show-cause notices. It has asked for demand notices too to be taken back.
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