The All Kerala Chemists and Druggists Association (AKCDA) led by AN Mohan has asked the state drugs controller to initiate action against a faction of traders who are indulging in unethical trade practices in flagrant violation of norms of Drugs & Cosmetics Act & Rules, and DPCO.

The AKCDA has written a letter to the state drug department in this regard which discloses the rivalry between the two factions in the state and also about the unholy tie up between the traders and the manufacturing companies.

The allegation levelled against the faction under the leadership of the trader Antony Tharian, who has allegiance to the AIOCD, is that they have objected to the appointment of Variety Medicals of Palakkad as the 4th stockist of German Remedies in the district. Since Variety Medicals is not a member of Antony Tharian’s group, which was earlier restrained by the court for working in the name of AKCDA, the traders supporting him have demanded German Remedies of Ernakulam to cancel the stockist-ship given to Variety and hand over the same, in place, to Yeneskay Pharma Distributors, Palakkad.

The letter says that the group of Antony Tharian has directed their members to withdraw from purchase of stocks from German Remedies and exhorted them to boycott their products till the company cancels the appointment of Variety Medical as its stockist. The letter further says that the traders following Tharian are disrupting the supply of medicines with a motive to monopolize the trade in the state with the support of some officials of the drugs control department.

Two months ago there was a similar incident in Pathanamthitta district with regard to the appointment of a stockist by a company from Mumbai. The rival group of AKCDA is of the demand is that new stockist should take NOC from their group to do business in Kerala.

According to the letter of AN Mohan to the drugs controller, one K Sivadas, Mayon Pharma, Calicut, Rajan, Poovady Medicals, Nilambur, Abdul Jaleel, Olapilli Medicals, Ernakulam and Giri Nair, Pharma Trade, Palakkad have communicated to all the stockists of German Remedies in the state not to purchase further stocks from the company and boycott their products till their demand to the company is met. The letter puts another allegation that Sivadas has summoned German remedies’ Kerala regional manager M Ramachandran to Calicut on March 9, 2011 and directed him to issue a letter stating that they will not make further supplies to Variety Medicals.

Mohan also alleged that Sivadas has demanded a huge sum as ‘fine’ from the manager to move back from the boycott call given to their members.
The allegation goes on to say that the rival faction has on several times, by some coercive methods, extorted huge money as ransom from prominent companies and claims to have the strong support of a high ranking official of the drugs control department of the state.

When contacted, Kerala drugs controller M Geetha said that enquiry will be conducted on the basis of the letter. But when asked about the response of the regional manager of German Remedies, she did not comment anything.