Non-executive directors cannot escape vicarious liability if company makes sub-standard medicines: Madras High Court

The non-executive Directors of a pharma company booked for producing spurious medicines to government hospitals, had claimed they used to merely sign cheques and had no role in day to day affairs of the company.
Madras High Court, Principal Bench
Madras High Court, Principal Bench

The Madras High Court recently held that non-executive directors of a pharma company cannot escape liability when the company is found to have engaged in manufacturing and supplying substandard drugs [Vikas Rambal vs The Drugs Inspector].

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