Tobinco Case: FDA to appeal against GH¢94m judgement debt

The Food and Drugs Authority (FDA) has expressed its intention to appeal against the GH¢93,905,760.79 judgment debt imposed on it by an Accra High Court.

The court, on July 29, 2024, ordered the FDA to pay the said amount to Tobinco Pharmaceuticals Ltd. for the unlawful destruction of unexpired drugs belonging to the company.

In 2014, the FDA confiscated pharmaceutical products imported to Ghana by Tobinco on the grounds that the products were unwholesome.

In 2019, Tobinco sued the FDA and asked the court to award costs against the FDA and declare its action unlawful.

In reaching a decision, the court, presided over by Justice Audrey Kocuvie-Tay, declared that the wanton destruction of Tobinco’s unexpired products without obtaining any order from the court was unlawful.

The court again declared that “the unlawful lockup of Tobinco’s warehouses by the FDA and bad media publicity by the FDA resulted in the massive expiration of Tobinco’s products between June 2014 and August 2015.”

Justice Kocuvie-Tay further declared that the order by the FDA prohibiting the sale of Tobinco’s products without obtaining an Executive Instrument from the Minister of Health was unlawful.

She declared that the actions of the FDA and its CEO in banning Bliss GVS Pharma Limited from importing drugs into Ghana without the issuance of an Executive Instrument (E.I.) by the minister were unlawful.

The judge held that Tobinco did not import fake drugs into the Ghanaian market.

However, the FDA, in a statement signed by its Chief Executive Officer, Dr. Delese Darko, said it does not accept the court's decision and will contest it at the Court of Appeal.

"The FDA acknowledges the judgment delivered by the High Court. However, the authority respectfully disagrees with the decision and intends to exercise its right to appeal. The FDA remains committed to upholding the judicial process and adhering to the rule of law and will follow due process until the matter is fully resolved."

It further rubbished claims in the public space that its CEO was negligent in her actions, thus causing the Authority to suffer the loss.

"For the avoidance of doubt, the Authority informs the public that this case stems from actions taken in 2013. Despite the claims made against the then CEO, Dr. Stephen Opuni, by the applicant, Tobinco Pharmaceuticals Ltd., the current leadership of the organization has provided a defense to the courts at all material times. The action initiated against the FDA in 2019 has consistently and vigorously been responded to by the FDA," the statement added.

KA/EK