Aren't proved and proven, both acceptable forms of past participle of prove - |Prove proved proved/proven|
Does GMAT only consider "Proven" correct?
Even if so, first conditional sentence in passive voice can still use "proved"
Eg. If the accused is proved guilty, he will be punished.
Then A, C and D are good from a Tense perspective but as Sajjad mentioned D can be eliminated because drug cannot prove anything.
A is unnecessarily wordy, I would pick C (I don't see any problem with C unless GMAT discards "proved")
Why I picked B:
B uses "proven" - the past participle form which means "proven to cause" is a participial modifier modifying drug:
Any drug proven to cause Cancer will be denied approval.
same as
Any child found running in the classroom will be punished.
So B is grammatically correct plus concise. I am not sure how can we use "is proven" in a sentence. It is a past participle form so should come with has/have/had or has/have/had been
Can you please confirm if I am correct in this approach and clarify?