Natco Pharma Faces NPPA Demand for Drug Overpricing

Natco Pharma Ltd has received a demand notice from the NPPA for allegedly overcharging two drugs, amounting to over Rs 4.92 crore. The notice covers the period from April to November 2023. Natco stated there is no material impact on their financial or operational activities.

Natco Pharma Ltd is under scrutiny as the company has been issued a demand notice by the National Pharmaceutical Pricing Authority (NPPA) for alleged overpricing of two drugs.

The regulatory authority has asked Natco Pharma to deposit Rs 4.92 crore, which includes the overcharge amount, penalty, and interest as per the directive outlined under para 15 of the Drugs Price Control Order, 2013.

The allegations pertain to overpricing activities spanning from April to November 2023. Natco Pharma, however, has clarified that this notice will not materially affect its financial, operational, or other activities.