"The Crime Branch sleuths succeeded in procuring the custody of the third accused Akhil Gadoo when he surrendered and approached the Jammu court of special judge, anti- corruption, to seek bail," a senior police officer said here.
The court kept the application for consideration and handed over the custody of the accused to the Jammu Crime Branch, he said.
Gadoo was evading arrest for the past few days.
Police teams have been dispatched to neighbouring states to identify and apprehend the other accused and seize relevant records, he said.
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On April 21, Crime Branch arrested brother-duo Amardeep and Ashok Raina from New Delhi and Jammu.
A case regarding supply and purchase of spurious drugs in Jammu and Kashmir was registered in January 20.
An inquiry committee, set up by the state government on April 4, had given clean chit to former health minister Sham Lal Sharma (currently PHE, Irrigation and Flood Control Minister) in the case pertaining to supply of Rs 11.32 lakh spurious drugs 'Amoxicillin Trihydrate' to the JK government.
According to the report submitted by the committee, owners of Life Line Pharmaco Surgicals flouted government norms while participating in the tendering process.
The report said the company produced fake authorisation certificate purportedly issued by Medley Pharmaceuticals Ltd. However, during the course of enquiry, it came to light that Medley Pharmaceuticals Ltd had not issued any authorisation to Life Line Pharmaco Surgicals and the owners of Life Line Pharmaco Surgicals had entered into the tendering process and supply of drugs by producing fake and fabricated authorisation certificate.
"Some incriminating documents and material have been recovered and seized. Preliminary investigations have revealed that these drugs were manufactured in a factory outside the state," the officer said.