Introduction:

In a landmark decision, the Supreme Court has suspended the manufacturing licenses of 14 products belonging to Patanjali Ayurved Ltd and Divya Pharmacy. This ruling comes in response to illegal advertisements and non-compliance with drug regulations. The Indian Medical Association’s case against the Union of India has prompted scrutiny into misleading medical advertisements, culminating in contempt proceedings against Patanjali’s key figures.

Arguments:

The Uttarakhand State Licensing Authority invoked Rule 159(1) of the Drugs and Cosmetic Rules 1954 to suspend the licenses, citing the companies’ failure to adhere to regulations. Patanjali and Divya Pharmacy faced allegations of violating the Drugs and Magic Remedies (Objectionable Advertisements) Act 1954. The State Licensing Authority issued strict instructions to ensure compliance with drug laws and advertising regulations.

Court’s Judgement:

The Supreme Court upheld the suspension of manufacturing licenses and initiated contempt proceedings against Patanjali’s management for misleading advertisements. Justices Hima Kohli and Ahsanuddin Amanullah emphasized the importance of upholding consumer protection laws and scrutinizing false health claims in advertising.