The Tamil Nadu government’s health department stated on October 13 that the manufacturing licence of the Sresan Pharmaceutical company has been completely revoked, and the firm has been ordered to shut down. The Sresan Pharmaceutical was involved in the manufacturing of the adulterated cough syrup Coldrif. In Madhya Pradesh and Rajasthan, more than 20 children died after consuming this contaminated cough syrup. The state Drug Control Department officials found that the cough syrup contained 48.6 per cent of Diethylene Glycol (DEG) during the inspection. Diethylene Glycol (DEG) is a toxic substance. During the inspection, the officials also found that the company lacked proper good manufacturing practices (GMP) and good laboratory practices (GLP). They have recorded over 300 critical violations.
After the deaths of children, a special team was investigating this case, and the company’s owner, G Ranganathan, was arrested in Madhya Pradesh. The state government, in an official press release, said, “The drug manufacturing license of Sresan Pharmaceuticals has been completely cancelled, and the company has been closed. Orders have been given to conduct a detailed inspection of other drug manufacturing companies located in Tamil Nadu.”
Earlier today, in a Prevention of Money Laundering Act (PMLA) case, a team of Enforcement Directorate officials raided seven premises of Sresan Pharmaceuticals in Chennai, and of senior Tamil Nadu FDA officials, reported TOI. The searches covered the residences of key employees and P. U. Karthikeyan, the TNFDA director in-charge, who had earlier been arrested in a July bribery case, reported TOI. According to the Enforcement Directorate, the profits from the sale of the adulterated syrup are considered proceeds of crime, reported TOI. The operation stems from FIRs lodged against Sresan in Madhya Pradesh and the Tamil Nadu bribery case. Following the tragic deaths—mostly of children under five—the Madhya Pradesh government took swift action, suspending two drug inspectors and a deputy director, transferring the state’s drug controller, and arresting a Chhindwara-based doctor for negligence, reported TOI.