SEC 1746
(11-02)

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UNITED STATES

OMB APPROVAL

SECURITIES AND EXCHANGE
COMMISSION

OMB Number:
3235-0145

Washington, D.C. 20549

Expires: December 31, 2005

SCHEDULE 13D

Estimated average burden hours per response. . 11

Item 1.

Security and Issuer

This Statement relates to shares of the Common Stock (the “Shares”) of Akorn, Inc., a Louisiana corporation (the “Issuer”). The principal executive offices of the Issuer are located at 2500 Millbrook Drive, Buffalo Grove, Illinois 60089.

Item 2.

Identity and Background

(a)                                  This Statement is filed by Gulu C. Waney, a citizen of India (“Mr. Waney”); Savika Ltd, a Channel Islands corporation (“Savika”), Doral Park, a British Virgin Islands corporation (“Doral Park”) and Shively Trade Ltd, a British Virgin Islands corporation (“Shively”).  Collectively, Mr. Waney, Savika, Doral Park and Shively are referred to as the "Reporting Persons,” or individually as a “Reporting Person.”

(b)                                 Mr. Waney’s address is Villa 11, off Al Tranya Street Umm Suqueim, P.O. Box 53078 Dubai, Villa 11, U.A.E.  Savika’s address is P.O. Box 301, Queens House, Don Road, St. Helier, Jersey, Channel Islands, British Isles.  Doral Park’s address is P.O. Box 3159, Road Town, Tortola, British Virgin Islands.  Shively’s address is P.O. Box 3159, Road Town, Tortola, British Virgin Islands.

(c)                                  Mr. Waney’s principal occupation is as Chairman of Standard Carpets LLC, a carpet manufacturing company with a principal business address of P.O. Box 27977 Sharjah, U.A.E.

(d)-(e)               During the last five years, none of the Reporting Persons has been (i) convicted in a criminal proceeding (excluding traffic violations or similar misdemeanors) or (ii) a party to a civil proceeding of a judicial or administrative body of competent jurisdiction and as a result of such proceeding was or is subject to a judgment, decree or final order enjoining future violations of, or prohibiting or mandating activities subject to, federal or state securities laws or finding any violation with respect to such laws.

(f)                                    Mr. Waney is a citizen of India.  Shively and Doral Park are British Virgin Islands corporations.  Savika is a Channel Islands corporation.

Item 3.

Source and Amount of Funds or Other Consideration

Mr. Waney’s Shares reported herein were acquired with personal funds.  Savika’s, Doral Park’s and Shively's Shares reported herein were acquired with working capital.

Item 4.

Purpose of Transaction

Issuer commenced a recapitalization (the “Transaction”) on September 25, 2003.  The purpose of the Transaction was to reduce Issuer’s outstanding senior bank debt and provide Issuer with additional working capital.

In connection with the Transaction, Issuer filed that certain Articles of Amendment to Articles of Incorporation (“Articles of Amendment”) a copy of which is attached hereto with the Louisiana Secretary of State on October 6, 2003. The Articles of Amendment designate and set forth the rights,

preferences and privileges of the Series A 6% Participating Convertible Preferred Stock, par value $1.00 per share (the “Series A Preferred Stock”), including the following.  The Series A Preferred accrues dividends at a rate of 6.0% per annum, which rate is fully cumulative, accrues daily and compounds quarterly, provided that in the event stockholder approval authorizing sufficient Shares to be authorized and reserved for conversion of all of the Series A Preferred Stock and warrants issued in connection with the Transaction (“Stockholder Approval”) has not been received by October 7, 2004, such rate is to increase to 10.0% until Stockholder Approval has been received and sufficient Shares are authorized and reserved.  Subject to certain limitations, on October 31, 2011, Issuer is to redeem all shares of Series A Preferred Stock for an amount per share equal to $100, as may be adjusted from time to time as set forth in the Articles of Amendment, (the “Stated Value”) plus all accrued but unpaid dividends on such share (“Redemption Price”).  If Issuer does not have sufficient funds to redeem all such shares, any shares of Series A Preferred not redeemed will accrue dividends at a rate of 10.0% per annum until redeemed.  Shares of Series A Preferred Stock shall have liquidation rights in preference over junior securities, including Shares and have certain antidilution protections. Without the approval of 50.1% of the Series A Preferred Stock,  Issuer shall not take certain actions, including (i) issuing Series A Preferred Stock, securities senior or on par with the Series A Preferred Stock, (ii) amending Issuer’s Articles of Incorporation or Bylaws to alter the rights of the Series A Preferred Stock, (iii) effect a change of control or (iv) effect a reverse split of the Series A Preferred Stock.  The Series A Preferred Stock is convertible at any time into a number of Shares equal to the quotient obtained by dividing (x) the Stated Value plus any accrued but unpaid dividends by (y) $0.75, as such numbers may be adjusted form time to time pursuant to the terms of the Articles of Amendment.  Provided that Stockholder Approval has been received and sufficient Shares are be authorized and reserved all shares of Series A Preferred Stock shall convert to Shares on October 8, 2006.

Mr. Waney believes that it may be advisable for the Issuer to supplement or make changes to its management personnel and/or board of directors in order to most effectively meet the challenges facing the Issuer.  Mr. Waney intends to have discussions with the Issuer, its officers, directors and/or other shareholders regarding potential supplements or changes to the Issuer’s current management and board of directors.

The Shares and the warrants acquired by the Reporting Persons in the Transaction were acquired for investment.  The Reporting Persons intend to continually review the Issuer's business affairs, financial position and future prospects, as well as conditions in the securities markets and general economic and industry conditions.  Based on such evaluation and review and other factors, the Reporting Persons may in the future take such actions with respect to investment in the Issuer as is deemed appropriate in light of the circumstances existing from time to time. Such actions may involve the purchase of additional Shares, or alternatively, may involve the sale of all or a portion of the Shares held by the Reporting Persons in the open market or in privately negotiated transactions to one or more purchasers.  No Reporting Person has made a determination regarding a maximum or minimum number of Shares which it may hold at any point in time.

Except to the extent the foregoing may be deemed a plan or proposal, none of the Reporting Persons has any plans or proposals which relate to, or could result in, any of the matters referred to in paragraphs (a) through (j), inclusive, of the instructions to Item 4 of Schedule 13D. The Reporting Persons may, at any time and from time to time, review or reconsider their position and/or change their purpose and/or formulate plans or proposals with respect thereto.

Reporting Persons reserve the right to change his, her or its intentions with respect to all matters referred to in this Item 4.

Item 5.

Interest in Securities of the Issuer

(a)                                  Amount beneficially owned: Mr. Waney may be deemed to beneficially own 2,162,866 Shares, which constitutes approximately 10.1% of the outstanding Shares, due to the following:

1.                                       346,200 Shares are held by Savika.  Mr. Waney is the 100% owner of Savika.

2.                                       130,000 Shares are held by Doral Park.  Mr. Waney is the 100% owner of Doral Park.

3.                                       20,000 Shares are held by Shively.  Mr. Waney is the 100% owner of Shively.

4.                                       1,666,666 Shares are held by Mr. Waney as an individual, including 10,000 Series A Preferred Stock currently convertible into 1,333,333 Shares at $0.75 per Share and 333,333 warrants currently exercisable to purchase Shares at an exercise price of $1.00 per Share.

(b)                                 The information set forth in Rows 7 through 13 of the cover pages hereto for each Reporting Person is incorporated herein by reference.  The percentage amount set forth in Row 13 for all cover pages filed herewith, and of Item 5(a) above, is calculated based upon the 19,729,759 Shares outstanding as of June 30, 2003 as reported by the Issuer in its Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission on August 14, 2003, but excludes an aggregate of (i) 247,172 shares of Series A Preferred Stock currently convertible into 32,956,266 Shares, (ii) 8,239,067 warrants currently exercisable to purchase Shares at an exercise price of $1.00 per Share, and (iii) 1,236,714 warrants currently exercisable to purchase Shares at an exercise price of $1.10 per Share, issued to Purchasers other than Mr. Waney in the Transaction.

(c)                                  Reporting Persons acquired Shares in the Transaction as follows.  On September 25, 2003, The Northern Trust Company, an Illinois banking corporation (“Northern Trust”), the certain purchasers identified therein, including Mr. Waney (collectively, the “Purchasers”), Issuer and Akorn (New Jersey), Inc., an Illinois corporation (“Akorn New Jersey”), entered into an Assignment and Assumption Agreement (the “Assignment and Assumption Agreement”) whereby the Purchasers agreed to purchase and assume all of Northern Trust’s interest (the “Assigned Interests”) in and to all of Northern Trust’s rights and obligations under the Credit Agreement dated as of September 15, 1999, as amended, (the “Credit Agreement”) between Issuer and Akorn New Jersey, as borrowers, and Northern Trust, as lender.

Simultaneously with the execution of the Assignment and Assumption Agreement, Issuer entered into a Preferred Stock and Note Purchase Agreement (the “Purchase Agreement”) with the Purchasers to redeem from the Purchasers the Assigned Interests in exchange for (a) an aggregate of 257,172 shares of Issuer's Series A Preferred Stock currently convertible into 34,289,600 Shares at $0.75 per Share, (b) warrants currently exercisable to purchase an aggregate of 8,572,400 Shares at an exercise price of $1.00 per Share, (c) $6,000,000 in cash, and (d) an aggregate of approximately

$2,767,139.03 in subordinated promissory notes (the “Purchased Notes”) issued to certain Purchasers.  Pursuant to the Purchase Agreement and a warrant agreement dated October 7, 2003 between Issuer and Mr. Waney, Mr. Waney acquired 10,000 shares of Series A Preferred Stock currently convertible into 1,333,333 Shares at $0.75 per share and warrants currently exercisable to purchase an aggregate of 333,333 Shares at an exercise price of $1.00 per Share.  Warrants issued in the Transaction have cashless exercise and certain antidilution protection.

Issuer and Akorn New Jersey also entered into a Credit Facility dated October 7, 2003 (“Credit Facility”) with LaSalle Bank National Association (“LaSalle Bank”) to provide for new senior secured debt to Issuer.  As a condition of entering into the Credit Facility, certain Purchasers executed guarantees in favor of LaSalle Bank on behalf of Issuer.  In exchange for entering into such guarantees Issuer issued an aggregate of 960,000 warrants currently exercisable to purchase Shares at an exercise price of $1.10 per Share to such Purchasers.

As part of the Transaction, Issuer and the Purchasers also entered into a Registration Rights Agreement dated October 7, 2003 (the “Registration Rights Agreement”) pursuant to which Purchasers were granted certain registration rights in connection with the Series A Preferred Stock and warrants issued in connection with the Transaction, including three (3) demand registrations for holders of more than 5,000,000 Shares, incidental or piggy-back registrations upon a registration by Issuer on Form S-1, S-2 or S-3 and shelf registration rights.  Issuer further agreed not to enter into any new agreement with more preferential registration rights.

The Transaction closed on October 9, 2003.

Mr. Waney purchased 3,000 Shares on October 8, 2003 at a price of $1.75 per Share in an open market transaction.

(d)                                 Not applicable.

(e)                                  Not applicable.

Item 6.

Contracts, Arrangements, Understandings or Relationships with Respect to Securities of the Issuer

Not applicable.

Item 7.

Material to Be Filed as Exhibits

The Following have been filed as Exhibits to this Statement:

(a)                                  Articles of Amendment to Articles of Incorporation of Issuer filed with the Secretary of State of Louisiana on October 6, 2003.

October 17, 2003

Date

/s/ Gulu C. Waney

Signature

Gulu C. Waney

Name/Title