India firm reports raid in U.S.
NEW YORK: Ranbaxy Laboratories, the Indian pharmaceutical company, said U.S. officials had raided its American corporate offices in Princeton, New Jersey.
Raghu Kochar, head of corporate communications for the company in India, confirmed on Friday that U.S. officials had searched Ranbaxy’s American facilities and promised that the company would cooperate fully.
But Kochar declined to say whether Ranbaxy was aware of the reason for the search or any investigation that may have prompted it, referring to a company statement Thursday that the search had come “as a surprise” and that Ranbaxy was not aware of any wrongdoing.
“This is the company’s position. I don’t think, even if they would know, that they would disclose it,” he said, referring to Ranbaxy’s senior executives. “We’re not obliged to provide any more answers.”
Charles Caprariello, a spokesman for the Ranbaxy U.S. affiliate, said officials of the U.S. Food and Drug Administration had conducted a broad search of the premises “and took a variety of documents.”
“It’s been a wide dragnet a sweep of questions and we’ve tried to work with them in answering everything they’ve asked,” Caprariello said. “But there are a lot more questions than answers right now.”
Asked whether the investigation was criminal or civil in nature, Caprariello said: “It would be premature for anyone to speculate at this time. We’re trying to probe to find out more.”
Nor would he speculate on whether the search might be focusing on Ranbaxy’s sales or marketing practices. “I can’t say whether it is or isn’t because I don’t know yet.”
A spokeswoman for the Food and Drug Administration, Catherine McDermott, said the agency could not “confirm or deny FDA involvement” in the Ranbaxy case, referring calls to the Department of Justice.
A spokeswoman for the federal prosecutor’s office in Maryland where the agency has its headquarters said the office could not comment on pending investigations.
Ranbaxy, the top Indian drug maker by sales, reported net profit of $42 million for the October-December quarter.
Its sales in the United States, where the company introduced 10 new products last year, rose 16 percent during the quarter. Fueling results was strong demand for simvastatin, Ranbaxy’s generic form of Merck’s Zocor cholesterol fighter.
Ranbaxy has said it aims to be among the top five generic players in the world, with $5 billion in annual sales by 2012. $@
