-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
Originator-Key-Asymmetric:
 MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen
 TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB
MIC-Info: RSA-MD5,RSA,
 LCRRWb9ApIPDR41ZXWd7nvI3nwmUqOKlPCgPZmAhwrOxyRBFexmvPfZmuRjdq/8q
 IMeQWIdPIGg3C42/3FEKnA==

<SEC-DOCUMENT>0001169232-07-003337.txt : 20070815
<SEC-HEADER>0001169232-07-003337.hdr.sgml : 20070815
<ACCEPTANCE-DATETIME>20070815085133
ACCESSION NUMBER:		0001169232-07-003337
CONFORMED SUBMISSION TYPE:	4
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20070813
FILED AS OF DATE:		20070815
DATE AS OF CHANGE:		20070815

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			CARACO PHARMACEUTICAL LABORATORIES LTD
		CENTRAL INDEX KEY:			0000887708
		STANDARD INDUSTRIAL CLASSIFICATION:	PHARMACEUTICAL PREPARATIONS [2834]
		IRS NUMBER:				382505723
		STATE OF INCORPORATION:			MI
		FISCAL YEAR END:			0331

	BUSINESS ADDRESS:	
		STREET 1:		1150 ELIJAH MCCOY DR
		CITY:			DETROIT
		STATE:			MI
		ZIP:			48202
		BUSINESS PHONE:		3138718400

	MAIL ADDRESS:	
		STREET 1:		1150 ELIJAH MCCOY DRIVE
		CITY:			DETROIT
		STATE:			MI
		ZIP:			48202

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			SHANGHVI DILIP S
		CENTRAL INDEX KEY:			0001249644

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-31773
		FILM NUMBER:		071058047

	BUSINESS ADDRESS:	
		STREET 1:		1150 ELIJAH MCCOY
		CITY:			DETROIT
		STATE:			MI
		ZIP:			48202

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			SUN PHARMA GLOBAL INC
		CENTRAL INDEX KEY:			0001197088

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-31773
		FILM NUMBER:		071058048

	BUSINESS ADDRESS:	
		STREET 1:		SPARC AKOTA ROAD
		CITY:			VADODARA
		STATE:			A1
		ZIP:			00000

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			SUN PHARMACEUTICAL INDUSTRIES LTD
		CENTRAL INDEX KEY:			0001197089
		STANDARD INDUSTRIAL CLASSIFICATION:	PHARMACEUTICAL PREPARATIONS [2834]
		FISCAL YEAR END:			0630

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-31773
		FILM NUMBER:		071058049

	BUSINESS ADDRESS:	
		STREET 1:		SPARC AKOTA ROAD
		CITY:			VADODARA
		STATE:			K7
		ZIP:			390020
		BUSINESS PHONE:		01191228212128
</SEC-HEADER>
<DOCUMENT>
<TYPE>4
<SEQUENCE>1
<FILENAME>d07-72527_ex.xml
<DESCRIPTION>FORM 4
<TEXT>
<XML>
<?xml version="1.0"?>
<ownershipDocument>

    <schemaVersion>X0202</schemaVersion>

    <documentType>4</documentType>

    <periodOfReport>2007-08-13</periodOfReport>

    <notSubjectToSection16>0</notSubjectToSection16>

    <issuer>
        <issuerCik>0000887708</issuerCik>
        <issuerName>CARACO PHARMACEUTICAL LABORATORIES LTD</issuerName>
        <issuerTradingSymbol>CPD</issuerTradingSymbol>
    </issuer>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001197089</rptOwnerCik>
            <rptOwnerName>SUN PHARMACEUTICAL INDUSTRIES LTD</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>17/B MAHAL INDUSTRIAL ESTATE</rptOwnerStreet1>
            <rptOwnerStreet2>MAHAKALI CAVES ROAD</rptOwnerStreet2>
            <rptOwnerCity>ANDHERI (EAST) MUBAI 400093 K7</rptOwnerCity>
            <rptOwnerState></rptOwnerState>
            <rptOwnerZipCode></rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
        <reportingOwnerRelationship>
            <isDirector>0</isDirector>
            <isOfficer>0</isOfficer>
            <isTenPercentOwner>1</isTenPercentOwner>
            <isOther>0</isOther>
        </reportingOwnerRelationship>
    </reportingOwner>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001197088</rptOwnerCik>
            <rptOwnerName>SUN PHARMA GLOBAL INC</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>INTERNATIONAL TRUST BUILDING,</rptOwnerStreet1>
            <rptOwnerStreet2>P.O. BOX 659, ROAD TOWN</rptOwnerStreet2>
            <rptOwnerCity>TORTOLA</rptOwnerCity>
            <rptOwnerState>D8</rptOwnerState>
            <rptOwnerZipCode></rptOwnerZipCode>
            <rptOwnerStateDescription>VIRGIN ISLANDS, BRITISH</rptOwnerStateDescription>
        </reportingOwnerAddress>
        <reportingOwnerRelationship>
            <isDirector>0</isDirector>
            <isOfficer>0</isOfficer>
            <isTenPercentOwner>1</isTenPercentOwner>
            <isOther>0</isOther>
        </reportingOwnerRelationship>
    </reportingOwner>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001249644</rptOwnerCik>
            <rptOwnerName>SHANGHVI DILIP S</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>17/B MAHAL INDUSTRIAL ESTATE</rptOwnerStreet1>
            <rptOwnerStreet2>MAHAKALI CAVES ROAD</rptOwnerStreet2>
            <rptOwnerCity>ANDHERI (EAST) MUBAI 400093 K7</rptOwnerCity>
            <rptOwnerState></rptOwnerState>
            <rptOwnerZipCode></rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
        <reportingOwnerRelationship>
            <isDirector>1</isDirector>
            <isOfficer>1</isOfficer>
            <isTenPercentOwner>0</isTenPercentOwner>
            <isOther>0</isOther>
            <officerTitle>(Non-Executive Chairman)</officerTitle>
        </reportingOwnerRelationship>
    </reportingOwner>

    <derivativeTable>
        <derivativeTransaction>
            <securityTitle>
                <value>Series B.  Preferred Stock</value>
            </securityTitle>
            <conversionOrExercisePrice>
                <footnoteId id="F1"/>
            </conversionOrExercisePrice>
            <transactionDate>
                <value>2007-08-13</value>
            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>J</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
                <footnoteId id="F2"/>
            </transactionCoding>
            <transactionAmounts>
                <transactionShares>
                    <value>544000</value>
                </transactionShares>
                <transactionPricePerShare>
                    <footnoteId id="F2"/>
                </transactionPricePerShare>
                <transactionAcquiredDisposedCode>
                    <value>A</value>
                </transactionAcquiredDisposedCode>
            </transactionAmounts>
            <exerciseDate>
                <value>2010-08-13</value>
            </exerciseDate>
            <expirationDate>
                <footnoteId id="F3"/>
            </expirationDate>
            <underlyingSecurity>
                <underlyingSecurityTitle>
                    <value>Common Stock</value>
                </underlyingSecurityTitle>
                <underlyingSecurityShares>
                    <value>544000</value>
                </underlyingSecurityShares>
            </underlyingSecurity>
            <postTransactionAmounts>
                <sharesOwnedFollowingTransaction>
                    <value>10880000</value>
                </sharesOwnedFollowingTransaction>
            </postTransactionAmounts>
            <ownershipNature>
                <directOrIndirectOwnership>
                    <value>I</value>
                </directOrIndirectOwnership>
                <natureOfOwnership>
                    <value>_</value>
                    <footnoteId id="F4"/>
                </natureOfOwnership>
            </ownershipNature>
        </derivativeTransaction>
    </derivativeTable>

    <footnotes>
        <footnote id="F1">The Series B preferred shares are convertible into common stock after three years (or immediately upon a change in control)
 on a one-to-one basis.</footnote>
        <footnote id="F2">Sun Pharma Global, Inc. (&quot;Sun Global&quot;) earns 544,000 shares of Series B Preferred Stock for each technology transferred to
 Caraco of a generic drug by Sun Global when such drug  passes its bioequivalecy studies.  In the event of the dissolution of
 Caraco, such shares have a preference equal to the value attributed to them on the dates on which they were earned.  The
 value attributed as of August 13, 2007 was $10.00 per share.</footnote>
        <footnote id="F3">The shares of Series B Preferred Stock remain outstanding until such time as they are converted to common stock.</footnote>
        <footnote id="F4">These shares are owned directly by Sun Global, which is a wholly-owned subsidiary of Sun Pharmaceutical Industries Limited
 (&quot;Sun&quot;).  Dilip S. Shanghvi is the controlling shareholder of Sun.  Sun and  Mr. Shanghvi disclaim beneficial ownership of
 the reported shares except to the extent of their respective pecuniary interests therein.</footnote>
    </footnotes>

    <ownerSignature>
        <signatureName>/s/ Dilip S. Shanghvi, Chairman and  Managing Director of Sun Pharmaceutical Industries Limited</signatureName>
        <signatureDate>2007-08-14</signatureDate>
    </ownerSignature>

    <ownerSignature>
        <signatureName>/s/ Sudhir V. Valia, Director of Sun Pharma Global, Inc</signatureName>
        <signatureDate>2007-08-14</signatureDate>
    </ownerSignature>

    <ownerSignature>
        <signatureName>/s/ Dilip S. Shanghvi</signatureName>
        <signatureDate>2007-08-14</signatureDate>
    </ownerSignature>
</ownershipDocument>
</XML>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
-----END PRIVACY-ENHANCED MESSAGE-----