Section 27. Penalty for manufacture, sale, etc., of drugs in contravention of this Chapter
Whoever, himself or by any other person on his behalf, manufactures for sale or for distribution, or sells, or stocks or exhibits or offers for sale or distributes —
(a) any drug deemed to be adulterated under section 17A or spurious under section 17B and which, when used by any person for or in the diagnosis, treatment, mitigation, or prevention of any disease or disorder, is likely to cause his death or such harm as would amount to grievous hurt within the meaning of section 320 of the Indian Penal Code solely on account of such drug being adulterated or spurious or not of standard quality, shall be punishable with imprisonment for a term which shall not be less than ten years but which may extend to imprisonment for life and shall also be liable to fine which shall not be less than ten lakh rupees or three times the value of the drugs confiscated, whichever is more. The fine imposed shall be paid, by way of compensation, to the person who had used the drug, or, where death was caused, to the relative of the deceased as defined in the Explanation to this clause;
(b) any drug (i) deemed to be adulterated under section 17A but not being a drug referred to in clause (a), or (ii) without a valid licence as required under clause (c) of section 18, shall be punishable with imprisonment for a term which shall not be less than three years but which may extend to five years and with fine which shall not be less than one lakh rupees or three times the value of the drugs confiscated, whichever is more, subject to the Court’s power, for adequate and special reasons, to impose a lesser sentence and fine;
(c) any drug deemed to be spurious under section 17B, but not being a drug referred to in clause (a), shall be punishable with imprisonment for a term which shall not be less than seven years but which may extend to imprisonment for life and with fine which shall not be less than three lakh rupees or three times the value of the drugs confiscated, whichever is more, subject to the Court’s power, for adequate and special reasons, to impose a lesser sentence and fine;
(d) any drug, other than a drug referred to in clause (a), (b) or (c), in contravention of any other provision of this Chapter or any rule made thereunder, shall be punishable with imprisonment for a term which shall not be less than one year but which may extend to two years and with fine which shall not be less than twenty thousand rupees, subject to the Court’s power, for adequate and special reasons, to impose a sentence of imprisonment for a term of less than one year.
Explanation (relevant to clause (a)): For the purposes of the compensation provisions, “relative” means the spouse; a minor legitimate son, unmarried legitimate daughter or widowed mother; a parent of a minor victim; a dependent son or daughter aged 18 or above; or any other person wholly or partly dependent on the deceased’s earnings, including a dependent parent, minor sibling, widowed daughter-in-law, widowed sister, minor child of a predeceased son or daughter, or paternal grandparent.
Source: The Drugs and Cosmetics Act, 1940 (Act No. 23 of 1940), Chapter IV, as amended by Act 26 of 2008.
