Efforts for the benefit of ease of living and doing business by providing compounding of offences under Drugs and Cosmetics Act, 1940 are yet to see day of light.
Government of India have amended Section 29, Section 30 and Section 32B of The Drugs and Cosmetics Act, 1940 for providing compounding of certain offences to enhance trust based governance by decriminalization and rationalization of those offences through Jan Vishwas (Amendment of Provisions) Act, 2023. As required under provisions of Jan Vishwas (AOP) Act, 2023, the Central Government has made amendment to Drugs and Cosmetics Act, 1940 effective from 31.12.2024 vide notification SO No. 1577(E) dated 28.3.2024.
Further, the Central Government vide notification GSR 374 (E) dated 10.07.2024, has also issued draft rules of Drugs and Cosmetics (Compounding of Offences) Rules, 2023 to provide procedure to followed during compounding. Said rules also provide for the definitions for the authorities such as compounding authority and reporting authority. It also provides a prescribed Form for making application for compounding offence.
Under Rule 3 of the said draft Rules, the Central Government and State Government is required to appoint a person as compounding authority by notification in the official Gazette. The Compounding Officer, Reporting Officer and the applicant need to follow the detailed procedure during the compounding of offences.
The efforts of Central Government for ease of doing business are yet to be available to the stakeholders regulated by Drugs and Cosmetics Act, 1940 and rules thereunder, as the said Draft Rule - Drugs and Cosmetics (Compounding of Offences) Rules, 2023 are yet to be finalized and notified. Stakeholders are eager to avail the benefits and waiting for notification of final Rules for compounding and further notification of the Compounding Authorities by the Central Government and the respective State Governments.