Kenyan Pharmaceutical Firm Sues PPB Over Alleged Trademark Infringement by Chinese Investor

Kilimanjaro Dawa Ltd, a leading Kenyan pharmaceutical company, has filed a lawsuit against the Pharmacy and Poisons Board (PPB), accusing the regulatory body of enabling trademark infringement by a Chinese investor.

The investor, who is not a licensed pharmacist, allegedly used a local company, Careplus Ltd, to manufacture 10 of Kilimanjaro Dawa’s products in China without authorization, using the company’s registered trademarks.

According to court documents, the PPB is accused of issuing import licenses to Careplus Ltd, facilitating the unauthorized production and importation of these products.

Some of the infringing goods were seized by the Anti-Counterfeit Authority (ACA) last year, highlighting ongoing concerns about counterfeit pharmaceuticals in Kenya’s market.

“We are taking this action to protect our intellectual property and ensure accountability,” said an insider at Kilimanjaro Dawa Ltd. “The PPB’s role in issuing licenses to entities engaging in unauthorized activities undermines trust in the regulatory system and puts public health at risk.”

The lawsuit claims that Kilimanjaro Dawa has suffered significant financial losses and reputational damage due to the circulation of these counterfeit products.

The company is seeking damages, an injunction to halt further infringement, and a review of the PPB’s licensing practices.

Careplus Ltd, a pharmaceutical importer established in 2009, has not publicly responded to the allegations.

The Chinese investor’s identity remains undisclosed, pending further legal proceedings. The PPB also declined to comment.

The ACA’s seizure of counterfeit goods last year underscores the broader challenge of combating illicit trade in Kenya’s pharmaceutical sector.

According to industry reports, counterfeit drugs have cost the economy billions of shillings, prompting calls for stricter regulatory oversight.

The incident adds to PPB’s woes in recent past as it is currently being investigated for allegedly facilitating the theft of 45 medical products manufactured and registered by Prism Life Sciences.

Prism Life Sciences, an Indian pharmaceutical manufacturer, appointed Galaxy Pharmaceuticals Limited as its Local Technical Representative (LTR) in Kenya in 2003.

However, a dispute arose when Galaxy claimed ownership of the products, leading Prism to seek clarification from the PPB and ultimately escalating the matter to the Commission on Administrative Justice (CAJ).