A special Central Bureau of Investigation (CBI) court at Rouse Avenue, New Delhi, on 31 October 2026 discharged Dr S. Eswara Reddy, who was Joint Drugs Controller at the Central Drugs Standard Control Organisation (CDSCO) when the case was filed, and three others in the 2022 Biocon Biologics bribery case, holding that the CBI had not made out even a prima facie case.

The ruling closes one of the most closely watched corruption cases involving India’s drug regulator, at a time when CDSCO is tightening its oversight, including its push for batch testing of raw materials and finished drugs.

Key takeaways

• The court discharged all four accused under Section 250 of the Bharatiya Nagarik Suraksha Sanhita (BNSS), 2023, which corresponds to Section 227 of the old Code of Criminal Procedure.
• In its 60-page order, it said the CBI did not show “when, where and how” a bribe of ₹9 lakh was demanded.
• It found no evidence that Biocon’s request to waive Phase III trials for Insulin Aspart was improperly fast-tracked.

What the CBI alleged in the Biocon bribery case

The CBI registered the case in June 2022 under the Prevention of Corruption Act. Besides Dr Reddy, it named CDSCO official Animesh Kumar, Guljit Sethi (also known as Guljit Chaudhri) of Bioinnovat Research Services, and L. Praveen Kumar, then Head of National Regulatory Affairs at Bengaluru-based Biocon Biologics Ltd.

According to the chargesheet, Dr Reddy influenced the Subject Expert Committee (SEC) review of three Biocon Biologics product files, including a proposal to waive Phase III clinical trials for its Insulin Aspart injection, in return for a promised ₹9 lakh. The agency said it recovered ₹4 lakh from his Delhi residence during a trap operation on 20 June 2022. An alleged intermediary, Dinesh Dua, later turned approver and was pardoned in 2023.

Why the court discharged Eswara Reddy

The court said a demand for a bribe is an essential ingredient of an offence under Section 7 of the Prevention of Corruption Act, and that the prosecution offered no direct or circumstantial evidence of such a demand. It also found nothing to support a charge of criminal conspiracy under Section 120B of the Indian Penal Code.

On the Insulin Aspart waiver, the court noted that the proposal reached the SEC through standard official email communication, without any intervention by Dr Reddy. It concluded that the allegations did not raise “even suspicion, let alone grave suspicion” against the accused.

“I have always maintained complete faith in the judicial process, and this discharge order brings substantial relief,” Dr Reddy told Mint. The health ministry, Biocon, CDSCO and the CBI had not commented when the order was reported.

What it means for India’s drug regulatory system

When he was arrested in 2022, Dr Reddy was among the officials shortlisted for the post of Drugs Controller General of India (DCGI). The case had raised questions in the industry about how expert committee recommendations and trial waivers are handled for biologics and biosimilars, a segment where companies such as Biocon are expanding into new global markets.

The regulator has faced other scrutiny this season, including when the Supreme Court questioned the Centre and DCGI over an antifungal sold on expired approvals. CDSCO has also acted on manufacturing quality, such as halting eye-drop production at Sun Pharma’s Assam plant. Details of CDSCO’s approval and expert committee processes are published on the CDSCO website.

FAQ

Who is Dr S. Eswara Reddy?

He was Joint Drugs Controller (India) at CDSCO when the CBI arrested him in June 2022, and was then among those shortlisted for the DCGI post.

Was anyone from Biocon Biologics charged?

Yes. L. Praveen Kumar, then Head of National Regulatory Affairs at Biocon Biologics, was an accused, and he was among the four people discharged on 31 October 2026.

Also read: Biocon Appoints Shreehas P. Tambe as CEO and MD

Featured image: Biocon Park, Bengaluru (representative). Photo: Namkeen ninja / Wikimedia Commons (CC BY-SA 4.0)

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