Pharmacy licensing penalties

There are penalties if the licence holder fails to comply with any licence conditions, and penalties relating to making a false statement on the application form.

Penalties relating to conditions on licence

If the Licensing Authority is satisfied that the holder of a Licence to Operate Pharmacy has failed to comply with any conditions affecting the licence the Licensing Authority can:

  • suspend a licence for such reasonable period as may be required to enable the Licensing Authority to consider the case
  • cancel the licence
  • impose a penalty not exceeding $40,000
  • forbid the licence holder or any person with an interest in the pharmacy from holding any interest in, or operating a pharmacy, for a period not exceeding five years. (ref s51(6) & (6A)

The ability to suspend or cancel a licence may apply to just one pharmacy or to all the pharmacies owned by the operator.

Penalties cannot be imposed without the Licensing Authority explaining the reasons for reaching the decision and without allowing the Licensee an opportunity to be heard.

Penalties relating to false statement on applications

Swearing a declaration that the information provided on the application form is correct, when it is not, is an offence under the Oaths & Declarations Act 1957.

Further s76 of the Medicines Act states

1. Every person commits an offence against this Act who, for the purposes of obtaining, whether for himself or for any other person, the grant of any licence under this Act, or for any other purposes in relation to this Act, -

a. makes any declaration or statement that he knows is false in any particular; or

b. utters, produces or makes use of any such declaration or statement or any document containing the same; or

c. utters, produces, or makes use of any document that he knows is not genuine.

2. Every person who commits an offence against this section is liable to imprisonment for a term not exceeding 6 months or a fine not exceeding $1000.

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