#BulletinBoard – January 10, 2019 (Drug Regulator initiates proceedings against Snapdeal for selling Schedule H drug and more)

Drug Regulator initiates proceedings against Snapdeal for selling Schedule H drug

The Karnataka Drugs Control Department is prosecuting an e-commerce company (Snapdeal) for online sale of drugs falling under Schedule H that require a valid prescription for sale.

On December 21, 2018 the department issued an order permitting the assistant drug controller in Belagavi to initiate prosecution proceedings against e-commerce platform Snapdeal, its CEO, COO, for sale and distribution of Suhagra-100, a drug under Schedule H of Drugs and Cosmetics Rules, 1945.

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In the backdrop of recent happenings in the e-pharma industry, this decision to prosecute Snapdeal for its alleged violation of the Drugs and Cosmetics Act, 1940, may have implications for the e-pharma industry as a whole and may also determine how the industry is regulated in the future.

Delhi HC ban on Online Sale of Medicines through E-pharmacies to continue

The Delhi High Court has directed the Central government and the Delhi government to restrain the online sale of medicines by e-pharmacies, as the same is not permitted under the Drugs and Cosmetics Act, 1940 and the Pharmacy Act, 1948.

In continuation of its interim order passed in a plea challenging the online sale of medicines through e-pharmacies, the Delhi High Court today extended the stay on such sale till February 6, 2018.

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While the Madras High Court has temporarily suspended the ban imposed by it earlier in December, it remains to be seen as to what will be the decision of the Delhi High Court once it resumes hearing of the case. The decision is eagerly awaited by all the stakeholders.

RBI allows tokenization of card transactions, even for third party apps

The Reserve Bank of India (“RBI”) has allowed tokenization of debit, credit and prepaid card transactions to enhance the safety of the digital payments ecosystem in the country. This would mean that the card details of customers will now be masked whenever they make any payment using their debit or credit cards.

Further, such tokenization shall also be available to customers whenever any transaction is being done via a third party app as well.

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This move by the RBI will improve the safety of online transactions in the country. As many people also store their card details in third party payment applications, allowing tokenization would mean greater safety for people while conducting online transactions.

 

Disclaimer: This post has been prepared for informational purposes only. The information/or observations contained in this post does not constitute legal advice and should not be acted upon in any specific situation without seeking proper legal advice from a practicing attorney.

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