Nexus Exposed: Crores in Kickbacks, Fake Licenses

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By: Special Correspondent
Date: July 4, 2025
Location: Shimla, Himachal Pradesh

In a dramatic turn that has sent ripples across Himachal Pradesh’s administrative and political circles, the Enforcement Directorate (ED) on Thursday conducted simultaneous raids at multiple locations linked to Nishant Sarin, the state’s Drug Controller. The action follows mounting allegations of corruption, illegal approvals of pharmaceutical licenses, and a broader nexus involving pharmaceutical companies and regulatory officials.

The ED teams, backed by central paramilitary forces, began the raids early morning in Shimla, Solan, and Panchkula. Sources indicate that officials recovered substantial cash, incriminating documents, and digital evidence, some of which are now being forensically examined. Residences of close aides, office premises, and bank lockers associated with Sarin and his immediate family were searched.

The raids are being carried out under the Prevention of Money Laundering Act (PMLA), and come after a detailed Income Tax Department investigation and a complaint forwarded by the Himachal Pradesh Vigilance Bureau.

At the center of the storm is a set of serious charges:

• Issuance of Drug Licenses to Dubious Pharma Units: Sources within the ED claim Sarin is suspected of facilitating licenses to shell companies and unqualified firms in exchange for bribes. Some of these units, based in the Baddi-Barotiwala-Nalagarh (BBN) pharma belt, have been blacklisted in other states due to substandard drug manufacturing.
   
• Kickbacks in Crores: Preliminary findings indicate cash transactions and disproportionate assets far exceeding Sarin’s known sources of income. Investigators are tracing payments allegedly routed through benami accounts and intermediaries posing as “consultants.”
   
• Nexus with Pharma Lobby: It is alleged that Sarin played a key role in creating a cartel of pharmaceutical firms that were protected from regulatory scrutiny. This includes ignoring complaints of spurious drugs and delaying action against violators.
   
• Lavish Lifestyle on Public Salary: From high-end properties to foreign trips and luxury vehicles, the ED is probing how a public servant with a modest government salary amassed such wealth.
   

The revelations have sparked outrage among health activists and opposition parties alike. Former Health Minister Rakesh Pathania has demanded a judicial inquiry, alleging that the corruption was “institutional and shielded at the highest level.” The Congress has accused the BJP-led state government of protecting Sarin, while the government has maintained that it is cooperating fully with central agencies.

Meanwhile, the Himachal Pradesh Medical and Pharmaceutical Watchdog Association issued a public statement condemning the alleged misuse of regulatory powers, calling it a “betrayal of public health.”

Experts warn that the fallout of this case may have far-reaching consequences. “When regulatory mechanisms are compromised, it not only endangers lives but erodes trust in public institutions,” said Dr. Shalini Gautam, a public health policy analyst.

With Himachal Pradesh being one of India’s key pharmaceutical manufacturing hubs, any irregularities in drug licensing could have national implications, including the risk of counterfeit or substandard medicines entering the larger healthcare system.

While Nishant Sarin has not issued a public statement yet, sources suggest he may be summoned for custodial interrogation soon. The ED is expected to file a detailed report in the coming weeks, and a formal arrest remains a possibility depending on the evidence gathered.

For now, Himachal Pradesh’s health and regulatory landscape finds itself under a harsh national spotlight. As investigators dig deeper, citizens and industry insiders alike await the full exposure of what could be one of the state’s biggest regulatory scandals in recent times.

This is a developing story. Updates will follow as more details emerge.