The Madras High Court on January 2 allowed online pharmacies to sell drugs and cosmetics, staying an earlier order.

A two-member bench of the court said the earlier direction to the Central government to notify the rules governing the online sale of drugs before January 31 continues. The Tamil Nadu Chemists and Druggists Association had filed a case against the sale of drugs by online companies.

According to the Association, online purchases may be convenient, but there exists the risk of unlicensed online outlets selling fake/expired/unapproved medicines. Reacting to the court order, Pradeep Dadha, Founder and CEO, Netmeds.com in a statement said: "We are happy with the order of the Division Bench of the Madras High Court staying the sale of online medicines till further orders."

"We are extremely grateful for the observations made by bench which validates the work that we have put in for the last three years," said Dadha.

"As part of the observations, the bench recognized that mechanisms are in place to prevent any real abuse of process by the online pharma sector. One of the most pertinent observations made was that the Central Government is not opposed to online pharmacies and is actively putting in place systems for regulating the sales," Dadha said.