The FDA banned the distribution of mercurochrome in the United States in the 1990s over fears of mercury poisoning.
http://en.wikipedia.org/wiki/Mercurochrome
This is the FDA grounds for its decision:
"Eleven of the 13 products contained mercury compounds (TM (8), merbromin(2), and mercuric oxide yellow (1)) as a bulk chemical ingredient, and only 2 products (merbromin (mercurochrome) solution) had active drug uses. The agency does not believe either of these products that had active drug uses is currently marketed because of a final rule that the agency issued on April 22, 1998 (63 FR 19799). In that final rule, the agency declared merbromin (and other mercury active ingredients) as not generally recognized as safe and effective as an active ingredient for OTC first aid antiseptic and antimicrobial diaper rash uses. Products containing these ingredients for these uses could no longer be initially introduced or initially delivered for introduction into interstate commerce after October 19, 1998." - Source: http://www.fda.gov/cder/fdama/mercuryreport.htm
MERCUROCHROME.COM is an organization which tries to get the mercurochrome back:
http://www.mercurochrome.org/
This organization believes that "mercurochrome was taken off the market not due to any real safety reasons but, more correctly because of a more sinister reason: POLITICS!"
Source: http://www.mercurochrome.org/why.html