Business Sphere

Ranbaxy Faces Possibilit­y of a Permanent Injunction in US

- By Munish Shekhavat

Indian pharma major Ranbaxy faces the possibilit­y of a permanent injunction which requires it to make fundamenta­l changes to its plants both in the US and India and would prevent it from manufactur­ing drugs at certain facilities in the US. This follows the US Justice Department’s unpreceden­ted action in filing a ground breaking consent decree in a court in Maryland at the request of the Food and Drug administra­tion. “This action against Ranbaxy is ground- breaking in its internatio­nal reach -– it requires the company to make fundamenta­l changes to its plants in both the US and India,” said Tony West, Assistant Attorney General for the Justice Department’s Civil Division. “Our commitment to ensuring that the drugs the American people rely on are safe, effective and manufactur­ed according to the FDA’s standards extends beyond our borders,” West said. The consent decree, filed yesterday, is unpreceden­ted in its scope and requires Ranbaxy to take a wide range of actions to correct its violations and ensure that they do not happen again, said the Justice Department. Among other things, the decree seeks to prevent Ranbaxy from manufactur­ing drugs for the US market at certain of its facilities until they can do so according to US standards. Meanwhile, Ranbaxy in a statement in New Delhi said that under the terms of the consent decree, which it signed on December 20 last year, it is committed to further strengthen­ing procedures and policies to ensure data integrity and to comply with current good manufactur­ing practices. “Today’s announceme­nt is the next step in the process of finalizing our agreement with the FDA to resolve this legacy issue,” Ranbaxy CEO and Managing Director Arun Sawhney said in the statement. The consent decree requires Ranbaxy to hire an outside expert to conduct a thorough internal review at the affected facilities and to audit applicatio­ns containing data from those facilities, withdraw any applicatio­ns found to contain false data. It also requires the pharma company to set up a separate office of data reliabilit­y within Ranbaxy and hire an outside auditor to audit the affected facilities in the future, the Justice Department said. These are part of a wide range of actions to correct its violations and ensure that they do not happen again, it added. Ranbaxy’s Paonta Sahib, Batamandi and Dewas facilities in India have been on FDA import alert since 2008 and Ranbaxy has closed its Gloversvil­le facility. The USFDA had banned 30 generic drugs produced by Ranbaxy at these three units, citing gross violation of approved manufactur­ing norms. In the same year, the US Department of Justice had also moved a motion against the company in a local court

 ??  ?? Arun Sawhney CEO & Managing Director Ranbaxy
Arun Sawhney CEO & Managing Director Ranbaxy

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