NAB Rawalpindi recovered Rs 385.11 million through plea bargain from accused persons, Tariq Haider and Mian Khalid Mehmood, who are both directors of M/s RG Pharmaceutica (Pvt) Ltd after investigation against a number of officials involved in illegally jacking up prices of drugs.
NAB received a complaint wherein it was alleged that officials of Ministry of National Regulation & Health Services Division (NR&HSD) and others were involved in the illegal increase in prices of drugs through Drugs Pricing Committee (DPC) meetings. The prices of these drugs were fixed as per section 12 of Drugs Act, 1976 by the Drugs Pricing Committee (DPC) duly constituted by the federal government.
During the course of the investigation, it was revealed that some pharmaceutical companies had been given undue financial benefits by members of DPC through exorbitant increase in prices of their drugs. It also revealed that the management of M/s RG Pharmaceutica (Pvt) Ltd aided, assisted, abetted, and conspired with DPC members to get unjustified price increase for their drug, Venofer (an injection), on the basis of import invoice @ €3/ampule whereas actually the company was importing its product @ 2.5 CHF (Swiss Currency)/ampule (€2.30) at the time.
In the same way, the management of the said company also got unjustified price increase of their drug Maltofer Syrup, which was being manufactured by M/s Pharmatec Pakistan (Pvt) Ltd through a toll manufacturing agreement, on the basis that import cost of raw material of active ingredient (Iron) at Rs. 46.272/ 120 ml @ CHF 94.80 per Kg. Investigation revealed that the cost of active ingredient (Iron) was CHF 49.3/Kg at the relevant time period which comes to be approximately Rs. 24/ 120 ml and not Rs. 46.272/ 120 ml. Hence, it was established from the record that the management of the company derived wrongful gains amounting to Rs 385.11 million as a result of unjustified price obtained through fraud and misrepresentation. The accused persons namely Tariq Haider and Mian Khalid Mehmood have submitted an application for plea bargain to the NAB Rawalpindi director general.
[…] NAB Rawalpindi recovered Rs 385.11 million through plea bargain from accused persons, Tariq Haider and Mian Khalid Mehmood, who are both directors of M/s RG Pharmaceutica (Pvt) Ltd after investigation against a number of officials involved in illegally … Pakistan Today […]
Imposing fines, recovering money or putting taxes would not help a common man becaue the companies increase prices in turn and recover from the public. More taxes – more corruption and more inflation. What lacks most in the system is controlling the prices of the commodities – specially the kitchen items – and particularly before and during the 'holy' (!) month of Ramdhan.
Comments are closed.