MoneyWorks4Me

Over-pricing charge: Cipla gets new demand notice for Rs 73 cr

29 Dec 2010 Evaluate

Cipla has received two fresh notices from the Government demanding a total of Rs 73 crore for alleged over-pricing on two drugs. The notices, from the National Pharmaceutical Pricing Authority (NPPA), demanded Rs 47.70 crore for respiratory drug Salbutamol and Rs 25.46 crore for antibiotic Ciprofloxacin.

Cipla has been litigating over the NPPA's notices on five of its drugs, including the aforementioned two, for about 10 years now. And the over-charge amount claimed by the Government from Cipla has crossed Rs 1,000 crore. The other drugs from Cipla under the scanner for alleged over-charging include respiratory drug Theophylline, cephalosporin-antibiotic Cefadroxil and antibiotic Norfloxacin.

Peers
Company Name CMP
Sun Pharma. Inds. 1852.40
Dr. Reddys Labs. 1223.45
Cipla 1391.45
Lupin 2070.00
Zydus Lifesciences 1213.00
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