Allahabad High Court lifts stay by UP AYUSH on production of adulterated medicine in Haryana but confirms stay on sale

The Allahabad High Court recently stayed an order passed by Uttar Pradesh’s Ayush Department to prohibit manufacturing of an adulterated Ayurvedic medicine by a company based in Haryana’s Ambala [Dr Biswas Ayurveda International Pvt Ltd vs Union Of India]..The division bench of Justice Sangeeta Chandra and Justice Brij Raj Singh prima facie opined that the authorities in Uttar Pradesh (UP) cannot ban the production being carried out by the company Dr Biswas Ayurveda International Private Limited (petitioner) since the production happens in Haryana.However, the Court clarified that sale of such adulterated medicine in Uttar Pradesh can certainly be stopped by the State authorities in UP.“We accordingly, as an interim measure, provide that the order dated 26.02.2024 and 12.03.2024 shall not be given effect only in so far as it relates to manufacturing of the disputed ayurvedic medicines till the next date of listing,” the Court ordered..It was hearing a petition challenging the ban on manufacturing and sale of the Good Health Ayurvedic Capsules by the petitioner company. The Court was told that the Director-cum-Licensing Authority, Ayurvedic Services, Department of AYUSH in Uttar Pradesh had sent the medicine for testing and it was found that the capsule was substandard. .Challenging the jurisdiction of the Licensing Authority, the petitioner argued before the Court that only the Drug Inspector for ayurvedic medicine can inspect the premises, collect the samples and then send them for analysis.In this regard, an Office Memorandum of the Union Government was cited to argue that only the licensing Authority of the area where the manufacturing unit is located, can initiate action. The petitioner also disputed the findings of the testing and sought further analysis but the request was rejected, the Court was told..However, the State defended the action and submitted that several complaints had been received with regard to certain Ayurvedic medicines being manufactured by the petitioner and other factories.Inspections were carried out with regard to more than ten such manufacturers and samples were taken of more than 20 drugs sold in the market by them as ayurvedic and purely herbal medicine, the Court was informed.“After samples were collected and analyzed, Good Health Ayurvedic capsules were found to be adulterated with betamethosane. Hence action has been taken by banning production and sale of such medicine within the State of UP," the counsel said..After considering the submissions, the Court agreed with the petitioner’s argument that the authorities in UP could not have banned the production taking place in Haryana.While staying the ban, the Court granted six weeks time to the State to respond to the petition and listed the matter for hearing on May 30..Advocate Meha Rashmi represented the petitioner.Additional Chief Standing Counsel Rajesh Tiwari represented the State of Uttar Pradesh.Advocate Umesh Singh represented the Union of India.[Read Order]