Bombay HC Criticises Maharashtra FDA for 'High-Handed' Action, Cipla Licence Cancellation Withdrawn

The Maharashtra Food and Drug Administration (FDA) withdrew its order cancelling the drug sale licence of Cipla's carrying and forwarding facility in Pune on Saturday, after the Bombay High Court criticised the regulator for acting in a "high-handed" manner and breaching due process.

A bench of Acting Chief Justice Ravindra Ghuge and Justice Gautam Ankhad found that the FDA had not followed natural justice principles. The court noted that the regulator had called Cipla for a hearing on August 26, a government-declared holiday, and then passed the cancellation order the same day without granting the company a proper hearing opportunity.

The FDA told the court it would issue a fresh show-cause notice to Cipla, followed by a reasoned order after considering the company's response. The original cancellation on August 27 had cited irregularities concerning packaging, storage, records and recall of Reactin Plus Tablets.