wordpress blog stats
Connect with us

Hi, what are you looking for?

PharmEasy IPO: Here’s why CAIT is asking SEBI to reject the offer

The platform’s legality was called into question by the traders’ body, citing an order passed by the Delhi High Court.

pharmacy

The Confederation of All India Traders (CAIT) has written to the Securities and Exchange Board of India (SEBI) asking the regulator to reject the initial public offering (IPO) of API Holdings, owner of PharmEasy, arguing that the online pharmacy's business model is "entirely based on gross illegality." Earlier in November, Delhi-based South Chemists and Distributors Association (SCDA) had also asked SEBI to reject the IPO on the grounds that online pharmacies are not legal under Indian law. Why this matters: The objections by SCDA and CAIT further stress why regulations for online pharmacy and healthcare are imperative. The government in August 2018 published a draft policy to regulate e-pharmacies, but it is yet to be finalised. Despite the lack of regulatory clarity, this sector continues to grow rapidly and many big players are entering the market: last August, Reliance acquired NetMeds and in June this year, Tata acquired 1MG. Why is CAIT objecting to PharmEasy IPO? In its letter dated December 10, CAIT lays out the following arguments: Online sales of medicines continue despite the Delhi High Court order prohibiting it: Online sales of medicines are not allowed according to an order passed by Delhi High Court in W.P.(C) No 11711 of 2018 but the sale of medicines still continues, CAIT said. "The Contempt of Court proceedings are still pending against all parties in the said case," CAIT noted. Provisions for online sales presently under consideration: The Ministry of Health and Family Welfare said in a sworn affidavit before the Delhi High Court that the online sale of medicines is presently under consideration and…

Please subscribe/login to read the full story.
Written By

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

Views

News

Studying the 'community' supporting the late Sushant Singh Rajput (SSR) shows how Twitter was gamed through organized engagement

News

Do we have an enabling system for the National Data Governance Framework Policy (NDGFP) aiming to create a repository of non-personal data?

News

A viewpoint on why the regulation of cryptocurrencies and crypto exchnages under 2019's E-Commerce Rules puts it in a 'grey area'

News

India's IT Rules mandate a GAC to address user 'grievances' , but is re-instatement of content removed by a platform a power it should...

News

There is a need for reconceptualizing personal, non-personal data and the concept of privacy itself for regulators to effectively protect data

You May Also Like

News

Google has released a Google Travel Trends Report which states that branded budget hotel search queries grew 179% year over year (YOY) in India, in...

Advert

135 job openings in over 60 companies are listed at our free Digital and Mobile Job Board: If you’re looking for a job, or...

News

By Aroon Deep and Aditya Chunduru You’re reading it here first: Twitter has complied with government requests to censor 52 tweets that mostly criticised...

News

Rajesh Kumar* doesn’t have many enemies in life. But, Uber, for which he drives a cab everyday, is starting to look like one, he...

MediaNama is the premier source of information and analysis on Technology Policy in India. More about MediaNama, and contact information, here.

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ

Subscribe to our daily newsletter
Name:*
Your email address:*
*
Please enter all required fields Click to hide
Correct invalid entries Click to hide

© 2008-2021 Mixed Bag Media Pvt. Ltd. Developed By PixelVJ