By Kenan Machado 

MUMBAI--Lupin Pharmaceuticals Inc. is recalling thousands of bottles of one of its Indian-made antibacterial drugs after finding that they failed to meet U.S. standards for impurities.

The Baltimore-based firm recalled close to 10,000 bottles of the drug made by its Indian parent, Lupin Ltd., the U.S. Food and Drug Administration said on its website. The recall was initiated on Jan. 27 but made public by the FDA this week.

"This is a voluntary recall initiated on our own and of no business consequence," a Lupin spokesman in India said without elaborating

The recall is the latest embarrassing incident for Indian pharmaceutical firms that have thrived in the lucrative market for drugs that have gone off patent.

The U.S. FDA has in recent years increased its vigilance of these firms as India became the second-largest supplier of generic drugs in the U.S.

Lupin--the fifth-largest generic drug maker in the U.S. in terms of prescriptions--gets 40% of its net sales from the U.S.

The latest recall is for Lupin's branded drug Suprax, the brand name for cefixime--an antibiotic used to treat bacterial infections of the ear and upper respiratory tract.

The Indian firm, India's fourth-largest generic drug maker by market capitalization, joins its larger peers in trying to become more vigilant in the face of increasing regulatory scrutiny from the U.S.

India's largest drug maker by sales, Ranbaxy Laboratories Ltd., had to issue a recall of generic versions of the cholesterol drug Lipitor in the U.S. earlier this year due to a potential dose mix-up. Previously the company had to recall about 480,000 bottles of the popular drug after glass particles were found in some bottles.

Sun Pharmaceutical Industries Ltd. recalled thousands of bottles of generic diabetes medication in the U.S. this year after some bottles were found to contain drugs meant to treat epilepsy.

Ranbaxy's majority owner, Japanese firm Daiichi Sankyo Co. just last week agreed to sell its stake to Sun Pharma after all the trouble with the FDA.

Write to Kenan Machado at kenan.machado@wsj.com

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