Bombay High Court Quashes Criminal Case Against Psychiatrist Under Drugs and Cosmetics Act — Exemption Under Rule 123 and Schedule K Applies to Registered Medical Practitioners Supplying Medicines to Own Patients. The court held that a registered medical practitioner who examines a patient and supplies medicines from a duly accounted stock is exempt from licensing requirements under Section 18(c) of the Drugs and Cosmetics Act, 1940, and the order issuing process without reasons was bad in law.

High Court: Bombay High Court In Favour of Accused
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Case Note & Summary

The petitioner, a registered medical practitioner and psychiatrist, filed an application under Section 482 of the Code of Criminal Procedure, 1973, seeking quashing of Special (Drugs & Cosmetics) Criminal Case No. 25 of 2022. The case was initiated by a drug inspector who, acting on information that the petitioner was selling medicines without a license, sent a dummy patient to the petitioner's clinic. The petitioner examined the patient, prescribed medicines, and supplied them under a bill. The drug inspector then filed a complaint alleging contravention of Section 18(c) of the Drugs and Cosmetics Act, 1940, punishable under Section 27(b)(ii) of the same Act. The petitioner contended that as a registered medical practitioner, he was exempt from the licensing requirements under Rule 123 read with Schedule K, Clause 5 of the Drugs Rules, 1945. The state opposed, arguing that the petitioner was stocking and selling medicines without a license. The court examined the provisions and noted that Rule 123 exempts drugs specified in Schedule K from the operation of Chapter IV of the Act, and Schedule K, Clause 5 exempts drugs supplied by a registered medical practitioner to his own patient. The court found that the petitioner had examined the patient, prescribed medicines, and the stock was duly accounted for. There was no allegation that the petitioner was running a pharmacy or selling medicines to the public. The court also noted that the learned Special Judge had issued process without recording any reasons, which was contrary to the requirement of Section 204 CrPC as interpreted by the Supreme Court in Lalankumar Singh v. State of Maharashtra. Consequently, the court allowed the application and quashed the criminal proceedings.

Headnote

A) Criminal Procedure - Quashing of Criminal Proceedings - Section 482 CrPC - Abuse of Process - The court quashed a criminal case against a registered medical practitioner for alleged violation of Section 18(c) of the Drugs and Cosmetics Act, 1940, holding that the exemption under Rule 123 read with Schedule K of the Drugs Rules, 1945 squarely applied as the doctor supplied medicines only to his own patients after examination. (Paras 3-12)

B) Drugs and Cosmetics Act - Exemption for Registered Medical Practitioners - Rule 123 read with Schedule K, Drugs Rules, 1945 - Section 18(c) and Section 27(b)(ii) of the Drugs and Cosmetics Act, 1940 - The court held that a registered medical practitioner who examines a patient and supplies medicines from a duly accounted stock is exempt from the licensing requirements of Chapter IV of the Act, and the prosecution was unsustainable. (Paras 5-12)

C) Criminal Procedure - Issuance of Process - Section 204 CrPC - Recording of Reasons - The court held that the order of the Special Judge issuing process without recording any reasons was bad in law, as it did not reflect application of mind, relying on Lalankumar Singh v. State of Maharashtra. (Paras 14-15)

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Issue of Consideration

Whether a registered medical practitioner supplying medicines to his own patient after examination is exempt from the requirement of a license under Section 18(c) of the Drugs and Cosmetics Act, 1940 by virtue of Rule 123 read with Schedule K of the Drugs Rules, 1945

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Final Decision

The application is allowed. The Special (Drugs & Cosmetics) Criminal Case No. 25 of 2022 and the order issuing process are quashed. The criminal application is disposed of.

Law Points

  • Exemption under Rule 123 read with Schedule K of the Drugs Rules
  • 1945 applies to registered medical practitioners supplying drugs to their own patients
  • Section 18(c) of the Drugs and Cosmetics Act
  • 1940 not attracted
  • Order issuing process without recording reasons is bad in law
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Case Details

2024 LawText (BOM) (7) 227

Criminal Application No. 638 of 2023

2024-07-22

G. A. SANAP, J.

Mr M. P. Khajanchi, Advocate for applicant Ms S. V. Kolhe, APP for the respondent/State

Dr. Prashant S/o. Gokul Tipale

State of Maharashtra

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Nature of Litigation

Criminal application under Section 482 CrPC for quashing of a criminal case under the Drugs and Cosmetics Act, 1940.

Remedy Sought

Quashing of Special (Drugs & Cosmetics) Criminal Case No. 25 of 2022 and the order issuing process.

Filing Reason

The petitioner, a registered medical practitioner, was prosecuted for allegedly selling medicines without a license, but claimed exemption under Rule 123 read with Schedule K of the Drugs Rules, 1945.

Previous Decisions

The learned Special Judge had issued notice to the accused without recording reasons.

Issues

Whether the petitioner's case falls within the exemption under Rule 123 read with Schedule K of the Drugs Rules, 1945. Whether the order issuing process without recording reasons is sustainable.

Submissions/Arguments

Petitioner: As a registered medical practitioner, he is exempt under Rule 123 read with Schedule K; the stock was duly accounted for; the drug was of standard quality; the patient was examined and prescribed medicines. Respondent: The petitioner stocked drugs for sale and was not supposed to sell medicines to patients without a license; the exemption does not apply.

Ratio Decidendi

A registered medical practitioner who examines a patient and supplies medicines from a duly accounted stock is exempt from the licensing requirements under Section 18(c) of the Drugs and Cosmetics Act, 1940 by virtue of Rule 123 read with Schedule K, Clause 5 of the Drugs Rules, 1945. An order issuing process without recording reasons is bad in law as it does not reflect application of mind.

Judgment Excerpts

In my view, the case of the applicant would squarely fall within Rule 123 of the Rules of 1945 and Schedule K, clause 5. The order passed by the learned Additional Sessions Judge clearly shows that it is bad in law inasmuch as it does not reflect the application of mind. On consideration of the entire material placed on record as well as the cryptic order passed by the learned Special Judge I am of the view that this prosecution against this applicant is not sustainable.

Procedural History

The drug inspector filed a complaint before the Special Court under the Drugs and Cosmetics Act. The learned Special Judge issued notice to the accused without recording reasons. The accused then filed the present application under Section 482 CrPC before the Bombay High Court seeking quashing of the criminal case.

Acts & Sections

  • Code of Criminal Procedure, 1973: Section 482, Section 204
  • Drugs and Cosmetics Act, 1940: Section 18(c), Section 27(b)(ii)
  • Drugs Rules, 1945: Rule 123, Schedule K Clause 5
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