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MARKETS 1h ago

Medanta chairman Naresh Trehan’s appointment to pharma marketing panel sparks conflict of interest debate

Livemint Companies
Published 26 Oct 2026, 01:34 pm IST

An advocacy group has questioned the appointment of Dr Naresh Trehan, chairman and managing director of Medanta, to a government committee reviewing pharmaceutical marketing practices, arguing that his association with the hospital group could raise concerns about conflicts of interest.

The Working Group on Access to Medicines and Treatments has urged the Department of Pharmaceuticals to replace Trehan with a member who does not have similar potential conflicts. In its representation to the government, the group said the committee must be independent and impartial as it examines rules intended to prevent unethical practices in the pharmaceutical industry.

The objection comes days after the Centre constituted a three-member committee to review the existing regulatory framework for pharmaceutical marketing. The panel is chaired by M Srinivas, a member of NITI Aayog, and includes former Union health secretary Preeti Sudan alongside Trehan.

The government has tasked the committee with examining the effectiveness of current monitoring and enforcement mechanisms and recommending changes to improve transparency, accountability and compliance. It must submit its recommendations within two months of its first meeting.

The advocacy group's concerns focus on whether a person associated with a large hospital group should serve on a committee examining practices involving pharmaceutical companies and healthcare professionals.

In its representation, the Working Group on Access to Medicines and Treatments pointed to previous concerns over medicine prices and charges at Medanta.

It cited reports about a 2018 assessment by the National Pharmaceutical Pricing Authority (NPPA), which examined hospital bills and identified instances of overcharging at several hospitals, including Medicity-Medanta.

Also Read | NPPA asks drug makers, medical device industry to pass on GST rate cut benefit to consumers

The group also referred to subsequent proceedings and assessments concerning high mark-ups in hospital tariffs. It argued that these matters should be considered when assessing the suitability of committee members, given the panel's responsibility to recommend measures that could affect the healthcare sector.

The group said Trehan's financial interests and association with Medanta could give rise to a potential conflict of interest. It called for the committee's recommendations to be guided by public health needs, ethical practices and access to affordable healthcare.

The representation does not, by itself, establish that Trehan has acted improperly or that he cannot serve impartially. The concern raised by the group is about the appearance of a potential conflict and the need to protect public confidence in the committee's work.

The group has also said it supports consultations with a wide range of stakeholders and experts. Its objection, as reported by The Hindu, is specifically about Trehan's inclusion and the need to ensure that the committee's composition does not undermine its independence. It has asked the Department of Pharmaceuticals to reconstitute the panel.

The committee's formation follows a long-running debate over whether India's existing rules are strong enough to prevent unethical pharmaceutical marketing.

The Uniform Code for Pharmaceutical Marketing Practices (UCPMP) was introduced in 2015 as a voluntary, industry-led framework governing drug promotion and interactions between pharmaceutical companies and healthcare professionals.

The government introduced a revised version, UCPMP 2024, which replaced the earlier code and strengthened its implementation framework. The revised code remains in force.

The rules are intended to ensure that pharmaceutical promotions are accurate and based on evidence, while preventing prescribing and treatment decisions from being improperly influenced by gifts, financial incentives, sponsored travel or other benefits offered by drug companies.

However, questions remain over enforcement. The Federation of Medical and Sales Representatives' Associations of India (FMRAI) has sought a legally enforceable framework, arguing that a voluntary code does not provide sufficient safeguards against violations. The issue has also been taken up before the Supreme Court.

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The newly constituted panel must assess whether existing monitoring and complaint-handling systems are effective and whether stronger regulatory, statutory or other legal measures are needed. It may consult relevant stakeholders, professional experts and institutions before making its recommendations.

The Department of Pharmaceuticals has not announced a change to the committee's membership in the material available at the time of writing. A response from Trehan or Medanta to the advocacy group's objections was also not available in the reports reviewed.

The committee's eventual recommendations could help shape how pharmaceutical marketing is monitored and how violations are addressed. Its membership and the questions surrounding potential conflicts of interest are therefore likely to remain relevant to the wider debate over accountability in India's healthcare system.

Trisha Bhattacharya

Trisha Bhattacharya is a Senior Content Producer at Livemint, with over two years of experience covering entertainment news from India and beyond. She spends her days tracking what’s trending, breaking down pop culture moments, and turning fast-moving entertainment stories into sharp, engaging reads that actually make people want to click — and stay. <br> She holds a Master’s degree in English Literature from Lucknow University, a background that shapes her love for layered narratives, strong voices, and stories that linger long after they’re told. Before joining Livemint, Trisha worked with India Today as an entertainment journalist and film critic. There, she reviewed films, covered industry news, and built a strong foundation in storytelling and cultural analysis. <br> Trisha enjoys working at the intersection of media, culture, and audience interest, always looking for fresh angles and formats. Films, shows, and music are not just her beat but her biggest passion — something that naturally reflects in her writing. Whether it’s cinema, streaming shows, music, or internet trends, she approaches every story with curiosity and intent. <br> Outside the job description, she’s unapologetically passionate about films, shows, and music — sometimes a little too passionate, if you ask her. That enthusiasm often spills into her work, adding personality, urgency, and a touch of chaos that keeps her writing alive. For Trisha, entertainment isn’t just a beat — it’s a language she speaks fluently.

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Originally reported by Livemint Companies.Source: livemint.com