The manufacturer of Coldrif syrup, whose consumption is alleged to have killed at least 20 children in Madhya Pradesh, used industrial-grade raw materials instead of pharma-grade sans quality checks to prepare the medicine, an ED probe has found.
The federal probe agency further claimed that officials of the Tamil Nadu Drugs Control Department were in "frequent touch" with proprietor G Ranganathan of the accused company-- Chennai-based Sresan Pharmaceuticals-- but the mandated annual inspections of the firm were "not" conducted.
The Enforcement Directorate said this in a statement issued on Wednesday as it attached two flats in Chennai belonging to Ranganathan and his family members.
The assets are located at Kodambakkam in Tamil Nadu's capital city and are worth Rs 2.04 crore, the statement said.
Ranganathan was arrested by the Madhya Pradesh Police in October.
The agency alleged Sresan Pharma indulged in "rampant unfair trade practices to suppress its manufacturing costs and increase profits which are nothing but proceeds of crime under the Prevention of Money Laundering Act".
Probe found, it said, that the manufacturer used industry-grade raw materials in the manufacturing of medicines instead of pharma-grade raw materials "without" proper quality checks.
"Such materials were being purchased in cash without invoices to avoid creation of records," the ED said. -- PTI
© 2025 Rediff.com - Investor Information - Advertise with us - Disclaimer - Privacy Policy - Sitemap - Feedback - About us - Terms of use - Grievances
