The Income Tax Department on Wednesday conducted searches at the premises of Bengaluru-based pharmaceutical company Micro Labs Ltd, the manufacturers of popular paracetamol Dolo-650 tablet that was widely used by Covid-19 patients during the last over two years, on charges of alleged tax evasion. The department is looking at financial documents, balance sheets and business distributor networks of the company as part of the searches, officials said.
Some other locations of the company in other cities and those of its promoters and distributors are also being covered in the search operations, they said.
According to the company website, the pharma firm was engaged in the making and marketing pharmaceutical products and APIs (Active Pharmaceutical Ingredients) and has 17 manufacturing units across the country apart from conducting business overseas.
Its major pharma products are Dolo-650, Amlong, Lubrex, Diapride, Vildapride, Olmat, Avas, Tripride, Bactoclav, Tenepride-M and Arbitel.Dolo-650, an analgesic (pain killer) and antipyretic (fever-reducing) was being prescribed by doctors and medical shop owners for coronavirus patients to reduce pain and fever, common symptoms caused by Covid.
Dolo-650, is "virtually a household name across the country", the company boasts.
The company website showcased a news article, published in February, saying, "The company has sold 350 crore tablets (of Dolo-650) since the Covid-19 outbreak in 2020, and earned revenues of Rs 400 crore in a year."
The CMD of the company, Dilip Surana, has been quoted in the said news report.