NEW DELHI, AUG 16: The 17-year-old dispute between the government and Glaxo India over the recovery of about Rs 189.44 crore from the latter might see the end soon with the Delhi High Court fixing the final hearing in the case for next week. The government had ordered for recovery of the money from the company claiming it had charged more than the fixed price while selling the bulk drugs betamethasone alcohol, betamethasone valearate and betmethasone-di-sodium phosphate.A division bench of Justice R C Lahoti and Justice C Kmahajan fixed August 18 for concluding reply by senior lawyer Fali S Nariman, appearing for Glaxo India after additional solicitor general C S Vaidyanathan assisted by standing counsel Meera Bhatia finished arguments Wednesday on a revision petition by the company, challenging the recovery on the ground that price fixation in government's drugs prices control orders of 1979, was "faulty".Glaxo India counsel claimed that the government had not indicated the specific provision of DPCOunder which the recovery of the money was being sought and the government agreeing to revise the prices of drugs in question thrice since 1981, showed that it conceded the price fixed previously was `erroneous'.
The government, however, maintained that the prices were worked out as per the cost audit reports, company data and the average figures from 1980 to 1984.
The government claimed that Glaxo India had accepted the revised prices and the Department of Chemical and Fertilisers (DCF) was free to work out the subsequent revisions after an order was passed by the high court in November 1986.
Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.
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