Pages

Monday, August 12, 2013

Bribery 'routine' for foreign pharmaceutical firms in China

BBC News, Martin Patience, Beijing, 12 August 2013

Related Stories 

GSK has been accused of facilitating
bribes to doctors and officials in China
Bribes are routinely paid by major foreign pharmaceutical firms operating in China, the BBC has learned.

Five drugs salesmen for foreign companies told the BBC their firms paid bribes in order to increase sales of their products.

None of them wanted to be identified, fearing they would lose their jobs.

The revelations come as Beijing widens its investigation into drugs-price fixing amid a bribery scandal engulfing drugs giant GlaxoSmithKline.

'Inflated prices'

One of the salesmen said his company paid about $1,000 (£647) to get its product back on the shelves at one hospital.

"I don't deny [giving money to doctors] happens in foreign companies," the sales representative said. "It is rare though and only very few people get it," he added.

But he described an incident where a product had been cleared from a hospital's shelves, which proved to be "an embarrassment" for him and his company.

"If we follow the normal procedure to recover it, it is very complicated. It will cost a lot of money and energy. We looked for a quick way."

He admitted that strictly speaking, the money paid out to ensure the product returned to shelves was probably a bribe and that his manager signed it off. He said it would have cost a lot more to achieve the same result through official routes.

"It may cost us more if we have not paid the bribe. It will be a lot of money and energy," he said.

Such revelations follow last month's allegations by the Chinese police that the British drugs giant GlaxoSmithKline had engaged in "mafia-style behaviour". GSK was accused of directing up to £320m through travel agencies to facilitate bribes to doctors and officials.

A detained Chinese executive from the firm told state television that bribes paid by his company had inflated prices of its products by a third.

GSK has said that it is co-operating with the Chinese investigation.

China's health care spending is expected to more than double by the end of this decade.

By investigating possible drugs price fixing the authorities are hoping to tackle the rising costs.

Related Articles:
Beijing expands GSK bribery probe to other multinationals

"THE BRIDGE OF SWORDS"– Sep  29, 2012 (Kryon Channelling by Lee Carroll) (Text version)

“… I'm in Canada and I know it, but I will tell those listening and reading in the American audience the following: Get ready! Because there are some institutions that are yet to fall, ones that don't have integrity and that could never be helped with a bail out. Again, we tell you the biggest one is big pharma, and we told you that before. It's inevitable. If not now, then in a decade. It's inevitable and they will fight to stay alive and they will not be crossing the bridge. For on the other side of the bridge is a new way, not just for medicine but for care. Paradigms that have not yet been thought of, which don't represent any system that currently exists, will be created and developed by young minds who have concepts that the seniors don't know about. Things that don't have integrity today will fall over tomorrow. Just get ready. It's all part of what's on the other side of the bridge. And the old energy won't like it, and they will object. …”

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.