The Mumbai-based generic drug major Cipla Ltd has revealed that it has received notices from the National Pharmaceutical Pricing Authority (NPPA) demanding a total of Rs 66.58 crore for allegedly overcharging prices for its salbutamol and norfloxacin products.

The company denied the demands put forth by the drug price regulator, according to a disclosure filed by Cipla to the Bombay Stock Exchange.

According to the disclosure, the NPPA has issued notice to Cipla demanding an amount of Rs 64.39 crore comprising allegedly overcharged amount of Rs 43.29 crore and interest thereon of Rs 21.10 crore upto June 2009 in respect of the drug Salbutamol. Another notice, demanding an amount of Rs 2.19 crore comprising allegedly overcharged amount of Rs 1.45 crore for the period October 2005 to March 2006 and interest thereon of Rs 0.74 crore upto June 2009 in respect of the drug norfloxacin is also under the purview of the price control authority.

"These demands are contrary to the orders of the Hon'ble Supreme Court of India and the Company has received legal advice that entire amounts demanded by the Government are not tenable and sustainable," said the company in its disclosure.