The Supreme Court has quashed a pharmaceutical supplier’s blacklisting after the State’s delay deprived it of the contractual opportunity to challenge failed quality tests through a second laboratory.
Judge / Bench — Justices Vikram Nath, Augustine George Masih and Sandeep Mehta; judgment by Justice Sandeep Mehta.
In M/s Jpee Drugs v State of Madhya Pradesh, decided on 6 October 2026, the tender required retesting of disputed batches. Despite a High Court direction for testing within 15 days, authorities delayed for about six months, by which time the medicines had expired.
The lost opportunity could not be restored, undermining the fairness of the debarment. The court set aside the September–October 2024 blacklisting orders. Its decision concerned administrative and contractual fairness, not an acquittal in a criminal drug-quality prosecution.
Advocates appearing — For the appellant — Siddharth Bhatnagar, senior counsel. For the respondents — S. K. Gangele, senior counsel.