Wockhardt's in ill health, again

Wockhardt is once again in the eye on a storm with the US FDA. The stock is currently the top loser on the BSE, down over 2.5% at Rs.577.60, with an intra day low at Rs.573.

The stock has tumbled down today morning on news that the US Food and Drug Administration, during an inspection carried out between 22nd Jan to 26th March has found 12 procedural lapses in Wockhardt’s Illinois facility in USA.

The FDA, in its report has stated that there is a failure to thoroughly review any unexplained discrepancy and the failure of a batch or any of its components to meet any of its specifications whether or the batch has already been distributed. It went on to say that the quality control unit lacks authority to review production records to assure no errors occurred and fully investigate errors that have occurred.  The report further says that the building used in the manufacture, processing, packing and holding of drug products are not maintained in a clean and sanitary condition, besides the production personnel were not practicing good sanitation and health habits.

The stock as such is under a cloud following the various troubles it has had  with the FDA at its Indian units and now the same issues at its US unit.