Following up on a raid conducted on the premises of snapdeal.com in north Mumbai a fortnight ago, Maharashtra’s Food and Drug Administration (FDA) on Friday ordered the filing of an FIR against e-commerce major’s CEO Kunal Bahl and other directors of the company for allegedly selling prescription drugs online.
In the first-of-its kind action initiated against an e-commerce company, the FDA lodged an FIR at the Panvel police station against Snapdeal CEO Bahl, the company’s other directors, the dealers and distributors of the prescription drugs that the firm was selling online, under the relevant provisions of Drugs and Cosmetics Act, 1940 and Drugs and Magic Remedies (Objectionable Advertisements) Act, 1954.
The offences under which the FIR has been registered are cognisable and non-bailable in nature. The offences stipulate a jail term ranging from three to five years and a minimum fine of Rs1,00,000.
Talking to mediapersons here on Friday, FDA Commissioner Harshadeep Kamble said that the action initiated against snapdeal.com was a consequence of a detailed probe that followed an intense search conducted on the e-commerce firm’s premises at Goregaon (west) in north Mumbai on April 16 based on “specific information” that the prescription drugs like Ascoril cough syrup and Viagra tablets.
“We had set up a Special Investigation Team (SIT) to look into the dealings of Snapdeal. As part of the probe, our team had raided the Snapdeal godowns at Bhiwandi in Thane district on April 16 and 20,” Kamble said.
Kamble said that the investigations by the SIT revealed that Messrs. Jasper Infotech Pvt ltd, which owns Snapdeal.com, had entered into agreements with different dealers of medicines situated all over India to supply the medicines offered/exhibited for sale on Snapdeal.com and to collect the sale proceeds by Snapdeal on their behalf.
“Our investigations have revealed that Snapdeal has also displayed and offered for sale about 45 drugs with the objectionable claims which contravene the provisions of Drugs and Magic Remedies (Objectionable Advertisements) Act, 1954,” Kamble said.
“The drugs involved are containing Sildenafil Citrate tablets which are to be sold by retail only on the prescription of Urologist, Endocrinologist, Venerologist, Dermatologist and Psychiatrist…They are to be taken with caution and self-medication and indiscriminate use may lead to harmful effects,” Kamble said.
Despite a written assurance to the contrary that it had received from the company, the FDA found that Snapdeal.com continued to offer, exhibit and sell drugs like I-Pill, Unwanted-72, emergency contraceptives and other drugs through their website. “We ordered these drugs online and received them on April 24,” Kamble said.
It may be recalled that after its raid on the Snapdeal.com premises on April 16, the FDA had ordered the e-commerce major to “de-list” prescription drugs like Viagra tablets and Ascoril cough syrup offered for sale by it on its website.
Subsequently, the FDA served a notice on the company to furnish details of the drugs offered for sale, distribution and exhibited for sale on its website. The FDA also asked Snapdeal.com to furnish us details like persons involved, the medical stores, companies involved and their respective documents like agreements, chalans, invoices, payment details etc.