Ranbaxy Laboratories Ltd. that has just managed to settle long-pending issues with the US Department of Justice after agreeing to pay a penalty of $500 million has run into fresh troubles with the health ministry in India decided to initiate a probe, reports said.
The Drug Controller General of India (DCGI) had been ordered to examine all the dossiers and drug applications on the basis of which approvals had been granted to Ranbaxy in the past, a ministry source close to the development said.
The future court of action will be decided after DCGI's reports, expected to be out within a month.
"We have to look at the whole thing very comprehensively. DCGI has been asked to go through the US order in detail and then examine the documents, dossiers and approvals to Ranbaxy in India. The regulator will evaluate all documents to see whether there has been any compromise in safety, quality, efficacy, or even in submitting data for seeking approvals," the source reportedly said.
The officials said Ranbaxy could face severe penalty under the Drugs and Cosmetics Act if it was found guilty of violation of any provision under Indian law, adding that the regulator might seek additional documents and information from Ranbaxy, as well as persons involved in the probe of the matter, to ascertain no wrongdoing had taken place in India
Early last week,RANBAXY, which pleaded guilty to making fraudulent statements to the US FDA about how it tested drugs at two of its Indian plants, agreed to pay a criminal fine and forfeiture totaling $150 million and to settle civil claims for $350 million to resolve fraud allegations made in a whistle-blower's lawsuit and federal criminal charges.
This is the largest false claims case involving a generics drugs manufacturer in the US. Ranbaxy, in papers filed in Federal court in Baltimore, admitted that it had sold batches of acne drug Sotret, epilepsy and nerve pain drug gabapentin and antibiotic ciprofloxacin that were improperly manufactured, stored and tested at its facilities in Paonta Sahib and Dewas, India.
For comments and feedback contact: editorial@rttnews.com
June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.