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[Drugs and Cosmetics Act]-SC Rules: Small quantity of medicine found in premises of a registered medical practitioner doesn't amount to selling medicines in an open shop,

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The Hon’ble Supreme Court in the case of S. Athilakshmi Vs The State Rep. by the drug inspector held that when a small quantity of medicine has been found in the premises of a registered medical practitioner, it would not amount to selling their medicines across the counter in an open shop.

The Hon’ble Court observed that the Appellant is a licenced practitioner with expertise in dermatology, which the Director of Drug Control and the High Court failed to consider. She holds an M.D. (DVL) in this field of study. The Appellant was protected by the Drugs and Cosmetics Act, 1940 (hereinafter referred to as the “1940 Act”) as she was giving these medications to her patients for urgent purposes. It was held that Schedule (K) of the Drugs and Cosmetics Rules, 1945 provides an exemption for the same.

Brief Facts:

The Appellant is a registered medical Practitioner and was carrying on her medical practice at her residence in Chennai. When the inspection was made at the said premises by the Drug Inspector, he found some medicines in the room and sale bills of the same.

Thereafter, the Drug Inspector filed a complaint before the Court of Metropolitan Magistrate, for prosecuting the Appellant under Section 18(c) of the Act punishable under Section 27(b)(ii) of the 1940 Act. The Appellant filed an application before the High Court under Section 482 Cr.P.C. however, the same was dismissed.  Hence, the present petition. 

 

Observations of the Court:

Section 18 restricts the manufacturing, sale etc. of certain drugs and cosmetics. In the present case, the charge was that the Appellant had “stocked” medicines for “sale.”

The Hon’ble Court observed that the Appellant is a licenced practitioner with expertise in dermatology, which the Director of Drug Control and the High Court failed to consider. She holds an M.D. (DVL) in this field of study. It was not as if she had a shop on her premises from which she transacted in medicines and cosmetic products. 

She would be protected by the Act as she was giving these medications to her patients for urgent purposes. Schedule (K) of the Drugs and Cosmetics Rules, 1945 provides an exemption.

It was expounded that when a small amount of medicine has been discovered on the property of a registered medical practitioner, the same does not amount to selling medicines in an open shop.

Regarding the bills of sale, it was observed that the bills were not even for the medicines that were seized. 

 

The decision of the Court:

Based on these considerations, the Hon’ble Top Court set aside the order of the Madras High Court and quashed the criminal proceedings. Accordingly, the appeal was allowed.

Case Title: S. Athilakshmi Vs The State Rep. by the drug inspector

 Coram: Hon’ble Justice Krishna Murari and Hon’ble Justice Sudhanshu Dhulia

Case No.: CRIMINAL APPEAL NO.  OF 2023

Citation: 2023 Latest Caselaw 182 SC

 

Advocate for Appellant: Adv. M.P. Parthiban

Advocate for Respondent: Adv. Joseph Aristotle

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