Article Today, Hyderabad:
Vasudha Pharma Chem, a Hyderabad-based pharmaceutical company, has come under intense scrutiny following allegations that it supplied precursor chemicals used in the manufacture of fentanyl, a synthetic opioid linked to hundreds of deaths in the United States. The company, with its manufacturing unit in Parawada, Anakapalli district, and headquarters in Kavuri Hills, Hyderabad, has been accused of exporting the substance illegally. On this, Sahanam Vande has already published a special news article https://sahanamvande.com/?p=3325 on 29.03.2025 titled ‘Death Toll in America with Hyderabad Drugs’.”

Arrests in New York
In March this year, U.S. federal agencies arrested the company’s Chief Executive Officer and Marketing Director in New York. The arrests followed an investigation by the Drug Enforcement Administration, which traced fentanyl-related supplies back to the firm. Officials alleged that the drug had caused numerous fatalities in America within a span of twelve months.
Director’s Suicide
Amid these developments, company director (Works) M.V.S.N. Vara Prasad Raju, aged 61, died by suicide in Hyderabad on Sunday. He had been associated with bulk drug production and project coordination for several years. His death has added to the controversy surrounding the firm.
Indian Investigations
Earlier, on March 20, 2023, the Income Tax Department conducted simultaneous searches at nearly 50 locations linked to the company. Authorities suspected diversion of company funds into real estate investments. These inquiries coincided with the U.S. arrests and reinforced suspicions of large-scale irregularities.

History of Violations
Hyderabad-based pharmaceutical companies have previously faced similar allegations. In 2017, another firm was found exporting precursor chemicals for cocaine and heroin production to Mexico. In 2020, yet another company was linked to methamphetamine precursor exports to Asian countries. In both cases, enforcement agencies carried out raids and arrests, and licences were revoked.
Industry Under the Spotlight
The latest episode has once again raised questions about the regulation of the pharmaceutical sector in Telangana and Andhra Pradesh. Hyderabad hosts more than 800 pharma units, employing around four lakh workers. While major firms manufacture generics, vaccines, and bulk drugs, certain companies have been accused of diverting resources to illicit activities.
Questions Over Regulatory Response
Despite repeated violations, enforcement remains limited. Critics point out that the Drug Control Administration and Health Department have not acted promptly in cases involving banned substances. Observers argue that close ties between companies, political leaders, and officials may be preventing decisive action.