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Fake Surgical Supplies Exposed: Court Hits Counterfeiters with ₹3.34 Crore Penalty

In a decisive ruling, the Delhi High Court has ordered counterfeiters of Johnson & Johnson’s surgical products to pay ₹3.34 crore in damages, condemning the operation as a serious public health hazard.

The case, initiated in 2019, uncovered a network of fraudulent distributors peddling fake medical supplies under J&J’s well-known trademarks, including SURGICEL, ETHICON, and LIGACLIP. These counterfeit products, which surfaced in hospitals abroad, were found to be non-sterile and potentially dangerous for patients.

The fraud was first detected by a neurosurgeon at the University of Kentucky Medical Center, who flagged inconsistencies in a SURGICEL product during a brain surgery. Investigations traced the counterfeit supply chain back to a New Delhi-based entity, revealing an international operation spanning the UAE and the United States.

The High Court, while awarding the damages, denounced the defendants for their deliberate and deceptive actions, which not only infringed J&J’s trademarks but also put countless lives at risk. The judgment emphasized that repackaging expired medical products with falsified expiration dates was an act of calculated fraud designed to exploit consumer trust.

Authorities recovered counterfeit goods, falsified financial records, and incriminating electronic communications, all of which reinforced the scale of the deception. The ruling imposed ₹2.34 crore as compensatory damages, estimated at 25% of the defendants’ counterfeit sales revenue, alongside ₹1 crore in exemplary damages meant to deter future violations.

Beyond the financial penalty, the Court issued a permanent injunction, barring the defendants from further counterfeiting activities. This judgment underscores the severe consequences of tampering with medical products and signals a strong stance against counterfeit operations endangering public health.

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