A wholly owned subsidiary of Dr. Reddy’s Laboratories in Mexico has been directed to pay Mexican peso 58 million (₹28.8 crore) penalty in a tax-litigation case.
The Superior Chamber of the Federal Court in Administrative Justice, Mexico, in its order on the ongoing tax litigation, has levied the penalty on Industrias Qumicas Falcon de Mexico, S.A. de C.V. (Dr. Reddy’s Mexico), the subsidiary, the drugmaker said in a filing on Thursday.
Dr. Reddy’s said based on its evaluation there is no material impact on financials, operations or other activities of the company. Dr. Reddy’s Mexico is in process of filing appeal against the order,” it said. On February 28, the drugmaker had said the Superior Chamber of the Federal Court in Administrative Justice, Mexico, had disallowed certain expenditure claimed by Dr. Reddy’s Mexico for 2006, 2007 and 2008.
