The government has found out that certain companies have been selling medicines at higher prices to consumers than those fixed by the National Pharmaceutical Pricing Authority
The chemicals and fertilisers ministry today said that it has issued demand notices for over Rs2,150 crore to various pharmaceutical companies for overcharging consumers, reports PTI.
The government has found out that certain companies have been selling medicines at higher prices to consumers than those fixed by the National Pharmaceutical Pricing Authority (NPPA), minister of state for chemicals and fertilisers Srikant Kumar Jena told the Rajya Sabha in a written query.
“Based on detection of overcharged cases during August 1997 to April 2010, the NPPA has issued demand notices in 746 cases involving an amount of Rs2,150 crore,” Mr Jena said.
Of this, only Rs192.04 crore could be realised till 30 April 2010, leaving a balance of Rs1,958.39 crore. Out of this, as much as Rs1,877.67 crore is under litigation and pending in various courts, he added.
As per the provisions of the Drug Price Control Order of 1995, the government fixes or revises the price of medicines and no company can sell any scheduled drug at a price higher than the one fixed by it.
SFIO has completed the investigation into SHCIL Services and has issued instructions to initiate prosecution against the company
The Ministry of Corporate Affairs (MoCA) has asked the Serious Fraud Investigation Office (SFIO) to initiate action against SHCIL Services Ltd in respect of violation of various provisions of the Companies Act, 1956. SHCIL Services is the broking arm of Stock Holding Corporation of India Ltd (SHCIL). SHCIL, originally set up as a depository, has been embroiled in a serious scandal that was being investigated by the Central Bureau of Investigation (CBI) and the SFIO.
Corporate affairs minister Salman Khurshid in a written reply to the Lok Sabha said that out of 22 cases, investigation reports in respect of two companies were submitted by SFIO. Necessary instructions for action in respect of violation of various provisions of the Companies Act, 1956, have been issued to SFIO, he added.
According to information available on the NIC server, SFIO has completed investigation of SHCIL Services and issued instructions to file prosecution against the company. The other company is Satyam Computer Services Ltd. The SFIO has submitted its report and issued instructions for filing prosecutions on pure company law violations against Satyam.
Between 2004 and 2009, the SFIO has filed prosecution proceedings in the matter of 32 companies against 632 accused, including individuals as well as companies.
SHCIL, the parent of SHCIL Services has been deeply mired in a controversy for its e-stamping project planned several years ago. Last November, the company announced a staggering cash dividend of 900%. According to informed sources, this entire dividend was the amount SHCIL earned by selling its 2% stake in the National Stock Exchange (NSE) for about Rs250 crore.
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The highways authority plans to open bids for projects worth Rs7,000 crore in the coming fortnight
In line with the National Highways Authority of India’s (NHAI) 20-km per day road development plan, the authority plans to open bids for another three road projects in the coming fortnight.
According to sources, NHAI plans to open bidding for three road projects for a total value of Rs6,000crore -Rs7,000 crore. These projects are not expected to be State-specific projects. They will be ventures for converting four-lane highways into six-lane highways.
Over the past few months, NHAI has been very active in awarding various road projects. According to NHAI data, around 44 road projects have been awarded in the financial years 2008-09 and 2009-10. In order to meet its 20-km per day target, the highways development authority will have to actively open bids and award a huge number of projects.
Moneylife had earlier reported on the road transport and the highway ministry’s plans to invite bids for road projects worth $20 billion to meet this ambitious road development target. At present, road development is progressing at the rate of around 10km per day.
A couple of the NHAI projects awarded in the last two months were the six-laning of the Tumkur-Chitradurga section in Karnataka to IRB Infrastructure and the four/two laning of 96.45km of the Rimuli-Roxy-Rajmunda Section of NH-215 in Orissa to MBL Infrastructure. IL&FS Transportation Networks was awarded a Rs25.19-billion order for four-laning of the Chennai to Nashri Section of NH-1A including a 9-km tunnel (two-lane) with a parallel escape tunnel in Jammu & Kashmir.
According to NHAI’s work plan for 2010- 11, request for quotations (RFQs) for around 10 projects are likely to be invited in May. These projects are from Uttarakhand, Andhra Pradesh and Uttar Pradesh.