The GlaxoSmithKline-Yemen (Whistle-Blower) Bribery Files



Post has been suspended following new information -it will be amended shortly.. and posted again.

stay tuned…

 

 

GSK Bribery Scandals : How About Just Saying Sorry?


GSK are now embroiled in three bribery scandals: in China, Iraq and Poland

Saying ‘sorry‘ goes a long long way…

But it doesn’t seem to be part of GSK’s vocabulary…

GSK

 

GSK Corruption and Criminality Has Been Going On For Decades..


 Corruption in China and Iraq, Defective Drugs...
GSK criminality and corruption has been
going on for decades before these 
current scandals..

The following are but a small sample..
...they don't call them the 'Global Serial Killers'
for nothing you know...

http://www.whale.to/v/gsk3.html

GlaxoSmithKline
GlaxoSmithKline

[Satanic is the only word that does justice to this outfit (see Lucifer symbol over Wellcome building, below), one example:  After their Trivirex MMR vaccine was withdrawn as dangerous in Canada, in 1988, they managed to get it on the UK market with a government indemnity, under another name: Pluserix (see MMR timeline).   When that had to be withdrawn they then sold it to the third world (causing an outbreak of meningitis in Brazil), while they have done their best to suppress the fact it caused autism and bowel disease, along with the present MMR vaccines. Sir Nigel Davis, who dismissed the appeal over the removal of funding for the MMR litigation by the Legal Services Commission, was the brother of Lancet proprietor Crispin Davis who at the time had also recently become a non-executive director of Glaxo SmithKline. The Times group (whose CEO is James Murdoch, appointed in 2009 a non executive director with GlaxoSmithKline) through it’s journalist Deer, is leading the attack on Dr Wakefield that culminated in the GMC Kangaroo court.
Of course the big poison in their history is AZT which they are still trying to kill Africans with.  Recently caught suppressing adverse effects with Avandia.  One psychiatric poison is Paxil/Seroxat.  God willing, this one is going to crash and burn on its way down to hell . Sell your shares now.]

Interestingly, this way of covering up the reality of deaths and damage caused by pharmaceutical corporations is becoming more common — In the UK, the case against Dr Andrew Wakefield, the whistleblower in the case of MMR (manufactured in part by GSK), was presented to the public as one of ethics, while the real issue of a damaging vaccine which harmed thousands of children was completely sidelined. If Witty and GKS did learn anything from this case, it was how to get away with culling the population of thousands, this part of their operation went very well but next time they might hope to dodge the fine for undeclared safety data. It makes me sick to my stomach, that while every high school shooting, every soldier killed in a foreign country, every notorious murder is religiously reported by the US media, GSK gets away with killing thousands without a single adverse word. And where are our gallant reporters in all this, whose going to sue them for fraudulent reporting, nothing could be a clearer sign that the media and it’s feather bedded journalists have crossed to the other side of the corporate tracks.
    
Getting away with murder II.(in two parts) Because of clever media manipulation, most people don’t understand what this ‘fine’ involved in the GSK mass murder case. It has been presented to the public as a case of fraud. Every news item makes clear that GSK failed to disclose certain safety data for three drugs which they produced. The penalty for this fraud, however, was only a portion of the overall ‘settlement’, the great majority of it was a straightforward claims settlement for deaths and injury caused to people who took the drugs after they had been licensed on fraudulent safety data (I know only about Avandia, for one of the other drugs see Fiona Hackman’s question below).It’s a little like an automobile company knowingly producing cars with faulty brakes, which ultimately kill thousands of people, being fined for failing to alert industry regulators to an apparent production fault. The reason why all media have reported this settlement as one of fraud is clear, had it been reported as a claims settlement even the most docile of the public would have raised eyebrows, asking the question, ‘How can a company falsify safety data, obtain a license for a drug and watch it kill and maim thousands of people?’ Mr ‘witty’ Witty, the Chief executive of GSK was able to brush off the whole settlement with the aside ‘We’ve learned from our mistakes’, when the sad fact is that it was thousands of others who learned by GSK’s criminality.Martin Walker MA  Martin Walker

“Three months ago we announced a partnership with the Wellcome Trust to invest over £1 billion to re-equip university science in Britain, the largest ever investment in Britain’s science base. Having received an overwhelming response from universities to our new University Challenge Fund we are now inviting further private sector involvement.”—Chancellor’s statement Nov 4, 1998

What is not commonly known is that the developers of the “dye”, Kodak, knew it would cause CIAA before they licensed it (May 1944).Today, there are 80 medical conditions or symptoms that have been recognised as a “cause or effect” of exposure to this “too toxic” chemical dye (NIH, 1994). Many of the drugs now used to treat these secondary conditions or symptoms of CIAA have been developed or patented by those who developed the original formula (for some, with slight changes of said formula; later, for instance, Myodil by GlaxoSmithKline).
    I will go on the record to state the following: the developers of the diagnostic radiographic contrast medium knew before they applied for an NDA (new drug application) that it would cause arachnoiditis, and furthermore were aware of some of the other found reactions to this “dye” that were also not reported to the authorities.
    I will go further and also place on the record that the collection of “secret studies” shows such; however, none was ever submitted to the FDA when applying for the NDA. Copies of all these “secret studies” are held in a bank safe on my behalf; these can be made available to any person who is willing to publicly publish such. [Letter Nexus Dec 2006] Arachnoiditis Awareness

The files containing the licensing history of Myodil have been ‘mislaid’ by the Medicines Control Agency. After pressure from the Myodil Action Group, which fought for an investigation, the Parliamentary Ombudsman recommended a release of the documents. However, the Permanent Secretary to the Health Department refused to release the major part of the Myodil licensing documents.
    On the 19th September 1988 Glaxo notified the Department of Health that Myodil was to be discontinued in the UK for commercial reasons, but they wished to retain the product licence issued in June 1987 as the product was not being discontinued worldwide. Myodil is thus still manufactured and sold overseas – it has found new markets in countries that are vulnerable to the marketing strategy that made Glaxo one of the largest pharmaceutical companies.
    Glaxo has always maintained that the links between Myodil and adhesive arachnoiditis have not been proven. But in an out of court settlement in 1995, whilst denying liability Glaxo Laboratories Limited paid out, on average, £16,000 to each of 425 claimants suffering from Myodil Adhesive Arachnoiditis. A further 3,000 claimants had to withdraw because of what many of them felt to be Glaxo’s solicitors’ bullying tactics. Settling out of court meant that Glaxo effectively closed the door on any further litigation in the UK.[2000] Toxic drugs are good for you (Myodil)

The Daily Telegraph has documentary proof the Federal Government, state health authorities and doctors sanctioned the use of the dye even though they knew the devastating effects of the chemicals in it. ……“You’ve seen the chemical make-up of the substance – it contains benzene, hydrochloric acid and sulphuric acid,” he said. “How could they ever think that injecting those chemicals into somebody’s back would not be harmful?” Doctors were warned not to spill the chemical on rubber because it destroys it and dissolves polystyrene cups. [2002] Medical cover-up

“Dr. Samuel Katz of Duke University  has served as chair of both the ACIP and the Red Book committees. He co-chairs a group called the Vaccine Initiative, which is an information and advocacy group that benefited from start-up funds from at least six vaccine manufacturers. He is listed as an advisory board member to the Immunization Action Coalition (which includes the Coalition for Hepatitis B), an advocacy group that receives funding from several vaccine makers, including SmithKline Beecham, Merck and Wyeth-Lederle……..Dr. Neal Halsey of Johns Hopkins University http://www.vaccinesafety. Like Katz, he is a vaccine pioneer and served on ACIP and the Red Book committees. He, too, is an advisor to the Immunization Action Coalition and the Hepatitis B Coalition. Halsey is also director of the Institute for Vaccine Safety, which he founded at Johns Hopkins to provide a forum on vaccine safety, among other things. According to a Johns Hopkins’ spokesperson, the institute receives funds from Merck, SmithKline Beecham, North American Vaccines, Connaught/Pasteur Merrieux and Wyeth-Lederle.”—-Nicholas Regush ABCNEWS.com

“NCK & GHCWaters pointed out that the confidential study’s lead author, Thomas Verstraeten, has since left the Centers for Disease Control and is now employed by GlaxoSmithKline, a manufacturer of thimerosal containing vaccines for many years that is a defendant in numerous suits pending nationwide.  “We have asked GlaxoSmithKline to provide Mr. Verstraeten’s deposition in order to understand if conflict of interest issues may have played a role in the CDC’s decision to keep this report confidential, and specifically, their failure to reveal it to the Institute of Medicine.”–AUTISM DAILY NEWSLETTER Thursday January 3, 2002

“In the latest annual report for the “Medicines Act 1968 Advisory Bodies”, she (Miller) lists five “non-personal” interests — payments which benefit her department rather than herself personally. They are grants from Baxter Healthcare, Wyeth Lederle Vaccines, Chiron Biocine, and SmithKline Beecham and “CMI testing in adolescent sera”, courtesy of Aventis Pasteur.”–Private Eye

“Professor  David Elliman, whose study said fears of a link between the MMR vaccine and autism were unfounded, admitted that he and Dr Helen Bedford had been given money by drugs giants SmithKline Beecham and Pasteur Merieux Merck Sharp & Dohme. Their report, MMR Vaccine – Worries Are Not Justified, is published in the current issue of the medical journal Archives of Disease in Childhood, and was used by the government to reiterate its view that the vaccine is safe.”–Media  

“Wyeth Lederle had paid Dr. Edwards $255,023 per year from 1996 to 1998 for the study of pneumococcal vaccines (i.e. Prevnar). Edwards is also one of fifteen full-time members of FDA’s Vaccines and Related Biological Products Advisory Committee, the committee that advises the FDA on the licensing of new vaccines……Rennels was instrumental in getting RotaShield to market and is now involved in Prevnar. Her university receives a total of over $2.5 million from various drug and vaccine companies including Wyeth Lederle, Prevnar’s manufacturer. She is also one of the twelve members of the Committee on Infectious Diseases, the committee that makes vaccine recommendations as part of the American Academy of Pediatrics…..This doctor (Dr. Jerome Klein) has been employed by the major vaccine manufacturers to testify against vaccine injured children. He is also chief editor of pneumo.com the website paid for by Wyeth Lederle to sponsor Prevnar. Furthermore, Klein holds a position on the National Vaccine Advisory Committee, the committee that recommends products for universal vaccination.”–Michael Horwin, MA

“A Sunday Express investigation has found that nearly a third of the 181 experts who sit on the Medicines Control Agency (MCA) committees are linked to GlaxoSmithKline, Aventis Pasteur or Merck, Sharpe and Dohme.”–Sunday Express

“Currently, 37 members of the CSM have a total of 188 separate financial links with the pharmaceuticals industry, inc the vacc manufacturers, including 82 separate personal declared links. These include shares, fees, consultancies, research grants and non-executive directorships. Also further 106 non-personal declared links. Source: Neill Committee on Standards in Public Life). Vaccine companies directly linked to members of CSM through personal declared financial links include SmithKline Beecham (NB), Merck Sharpe Dohme (NB), Lilly Industries, Pfizer, Glaxo Wellcome (NB), Bayer, Proctor 7 Gamble, British Biotech, Medeva Pharma. Members with personal financial links with MMR manufacturers are Messrs Blenkinsopp, Dargie, Donaghy, Evans, Forfar, MacGowan, Smyth, Wilkie. (Source: Neill Committee on Standards in Public Life).”–David Thrower Flawed UK Regulatory and Monitoring Systems (2001)

“A Parliamentary Written Question by Mrs. Ann Winterton MP in May 1999 confirmed the following declared interests within the JCVI membership (NB – the PWQ related only to a limited range of pharmaceuticals companies, so the full list will be greater than this): Professor Lewis Ritchie (Glaxo Wellcome), Dr. Barbara Bannister (Glaxo Wellcome and SmithKline Beecham),  Dr. David Goldblatt (SmithKline Beecham), Dr. Diana Walford (Glaxo Wellcome and SmithKline Beecham), Professor Roy Anderson (Glaxo Wellcome and SmithKline Beecham), Dr. Karl Nicholson (Glaxo Wellcome)”–David Thrower Flawed UK Regulatory and Monitoring Systems (2001)

“The MCA is of course headed by a former top executive at SmithKline, Dr Ian Hudson.”–Private Eye

“5 out of 6 members of the (UK) Joint Committee on Vaccination and Immunisation had interests with Glaxo Wellcome, 4 with SmithKline Beecham (ref: May 1999 Secretary of State for Health)

AMERICAN ACADEMY OF PEDIATRICS http://www.cspinet.org/integrity/corp_funding.html
“Friends of Children Fund” Annual Report, July 1, 1996 – June 30, 1997, indicates $2.085 million in funding from corporations. Donors include Procter & Gamble, Gerber, Infant Formula Council, McNeil Consumer Products Company, National Cattlemen’s Beef Association, Johnson & Johnson Consumer Products, Abbott Laboratories, Wyeth-Lederle Vaccine & Pediatrics, Mead Johnson Nutritionals, SmithKline Beecham Pharmaceuticals, Schering Corp., Rhone-Poulenc Rorer, Food Marketing Institute, Sugar Association, International Food Information Council, Merck Vaccine Division, and others. Also gets foundation support (RWJ, Pew, etc.).

“Lemon S, Thomas DL. Vaccines to prevent viral hepatitis. N Engl J Med 1997;336:196-204. Dr. Lemon received grants from SmithKline Beecham Pharmaceuticals.“–NEJM

Page_1

1boringoldman Blog: ‘The Whole Industry’… (If Glaxo’s CEO wants to be Mr. Clean, he needs to pick up a broom )


Great post from the retired psychiatrist from his blog 


1boringoldman
Always astute and wise,

 very insightful blog

 and very much appreciated writing..

Great to see that there are  other people out there who see

 through
 
GSK's lies..

 http://1boringoldman.com/index.php/2014/04/07/the-whole-industry/

the whole industry…

Posted on Monday 7 April 2014

Fierce PharmaMarketing
By Tracy Staton
April 7, 2014

GlaxoSmithKline [$GSK] says it’s rolling out sales and marketing reforms around the world. Apparently, the changes come none too soon. The British drugmaker opened another bribery investigation, this time in Iraq, to check out allegations that it paid government-employed physicians to promote its products. And Glaxo hasn’t yet finished working through the scandalous Chinese bribery allegations that kicked off an industry-wide corruption crackdown.

So, CEO Andrew Witty and his team sound a bit … conflicted. On the one hand, Witty sounds the perfectly contrite corporate leader. He apologized for the marketing allegations that ended with a $3 billion Department of Justice settlements. He’s promised good behavior and touted those worldwide sales reforms. But on the other, the company is digging into at least two sets of corruption accusations, and faces related repercussions at home and in the U.S. Two bribery probes in two different geographic divisions? That’s a systemic problem.

When the Chinese bribery scandal hit, Glaxo’s U.K. headquarters was quick to say that head-office executives didn’t know about any malfeasance in its China subsidiary. That may be so. But if HQ didn’t know, that means HQ was either turning a blind eye or failing to pay enough attention. Either way, that’s not a good thing for a company trying to clean up its image.

If Witty really wants to reform GSK, then he and his top managers need to move beyond plausible deniability. They can’t just launch new quota-free sales-rep compensation and promise to stop paying speaking fees to doctors in the U.S. and beyond. Painful follow-through has to happen.

We need to see Glaxo execs take out their brooms, and move into global operations to sweep out misbehavior. If they don’t, whistleblowers and government investigators will. And that makes all those the sales-and-marketing changes look like little more than window-dressing.
Just a fluff piece to fill a column? I don’t think so. I think Tracy Stanton is on to something that Sir Andrew Witty and others need to listen to carefully. I don’t think the time honored method of putting a few platitude band-aids on a problem and waiting for the news cycle to pass is going to work very well. We’re onto that maneuver – a lesson learned in the school of hard experience. I was looking over some old posts and ran across any number of excuses, press releases, and statements in response to accusations in years past, and most of them would be laughed at these days or at least send eyes rolling. And plausible deniability is on top of the list of worn out spinning wheels. Two early versions came from my favorite bad example, Dr. Charles Nemeroff, when he was busted for leaving out conflict of interest declarations:
New York Times
By MELODY PETERSEN
August 3, 2003

Two scientists are raising concerns about an article in a medical journal that described experimental treatments for depression because an author did not disclose his significant financial ties to three therapies that he mentioned favorably. The executive editor of the journal said it had not required disclosure of the potential conflicts, but was considering changing its policy in light of the criticism. The ties between pharmaceutical companies and researchers have come under increasing scrutiny in recent years.

The lead author of the article, Dr. Charles B. Nemeroff, chairman of the department of psychiatry and behavioral sciences at the Emory School of Medicine in Atlanta, said he would have reported the conflicts of interest, which include owning the patent on a treatment he mentioned, if the journal had asked him to. ”I have always been totally compliant, probably gone overboard, with disclosure,” Dr. Nemeroff said. ”If there is a fault here, it is with the journal’s policy.”
The Wall Street Journal
By David Armstrong
July 19, 2006

Charles Nemeroff, one of the nation’s most prominent psychiatrists, edits the journal Neuropsychopharmacology, which this month favorably reviewed a controversial new treatment for depression. But Tuesday, the journal said it plans to publish a correction because it failed to cite the ties of the article’s eight academic authors to the company that makes the treatment, including the article’s lead author: Dr. Nemeroff.

The journal’s nondisclosure of the financial ties of its own editor as well as those of the other authors highlights the failure of many respected medical journals to identify relationships between academic researchers and medical companies that may benefit from positive research reports. A spate of recent lapses is prompting calls for more journals to ban offending authors from publication. In addition, medical schools are being urged to regulate relationships between their researchers and industry more closely…
His excuse that second time – clerical error. It didn’t work so well as the first one and he decided to step down as editor shortly thereafter. We can thank Drs. Bernard Carroll and Bob Rubin for both of those exposures. They came early and got the ball rolling. The investigations of Senator Grassley and Paul Thacker came next, and then the epidemic of suits against the Pharmaceutical companies with the release of enough incriminating documents to convince any doubters. So we’re now veterans of ten years learning that plausible deniability simply equaled a lie, and we’re not likely to buy such things anymore, almost by reflex.

I was a retired person before I was capable of believing that Doctors, Academic Department Chairmen, and Pharmaceutical Companies named after long-dead men with handle-bar mustaches were capable of the kind of deceit we’ve all seen in recent decades – but our naivety has given way to, at the least, a careful suspiciousness, even paranoia about such matters. And GSK has placed itself in a goldfish bowl that’s going to be hard to escape.

So when Tracy says, “We need to see Glaxo execs take out their brooms, and move into global operations to sweep out misbehavior” she’s not just moralizing, she’s giving GSK an appropriate heads up they really need to hear – not just GSK, the whole industry. We’re veterans now…

How Serious Is The Paroxetine (Seroxat) Contamination From GSK’s Cork Site?


According to this legal web-site... 

This a very serious issue... 

With Possible legal Ramifications...

http://www.schmidtlaw.com/gsk-recalls-paxil-after-fda-warning-letter/

April 3, 2014 — The U.S. Food and Drug Administration (FDA) has issued a Warning Letter to GlaxoSmithKline (GSK) after finding that the company did not fully address contamination in certain lots of Paxil (paroxetine). GSK has agreed to recall the affected batches.

The problem was discovered during an investigation of a facility in Cork, Ireland. The FDA alleges that GSK became aware that pharmaceutical waste (active ingredients, intermediates, and solvents) could potentially contaminate Paxil in January 2012. It took until April 2013 to complete a risk-assessment. In the meantime, GSK continued to sell potentially-contaminated Paxil.

GSK has defended themselves by saying that the problem is not likely to cause patient injuries. However, the FDA says it is “concerned that your firm does not consider the entry of pharmaceutical waste streams into your manufacturing process a significant deviation with a potential quality impact.”

The FDA has threatened to embargo shipments of drugs from Cork, Ireland. They have also threatened to withhold approval of any new drugs manufactured by GSK.

If the FDA was forced to take such actions, it could interrupt supply — the facility is the main site where paroxetine is manufactured, according to Reuters.

Page_1

GSK Corrupt Activity In Iraq Goes Back Years…


GSK were investigated for bribing Saddam Hussein’s regime with kickbacks back in 2007, however the investigation seems to have disappeared after making headline news at the time…

Apart from the report on kickbacks in 2007, there was also a report from 2013 detailing a case where GSK are mentioned in conspiring with Hussein’s regime, the case was struck out on technicalities in the US court… In other words… they got away with it.. (no surprise there then!)…

http://www.iraq-businessnews.com/tag/glaxosmithkline/

An Iraqi lawsuit accusing more than 90 companies of conspiring with Saddam Hussein’s regime to frustrate the United Nations’  program, and depriving Iraqis of roughly $10 billion of essential aid, has been dismissed by a court in New York. (See more here)

This from 2007: 

http://www.theguardian.com/business/2007/feb/14/iraq.oilandpetrol

Firms accused of bribing Saddam to be investigated by fraud office

· British companies named in United Nations report
· Kickbacks ‘enabled Iraqi leader to amass $1.8bn’

The Serious Fraud Office has launched an investigation into allegations that a number of major UK-based firms paid bribes to Saddam Hussein’s regime in Iraq. The firms being targeted include the drug giants GlaxoSmithKline (GSK), AstraZeneca and Eli Lilly. 

And from 2008:

http://www.telegraph.co.uk/finance/newsbysector/epic/gsk/8686221/Glaxo-to-manufacture-drugs-in-Iraq.html

The drugs company, which has been the almost exclusive supplier of medicines and vaccines to Iraq’s ministry of health for over 20 years, is setting up a manufacturing base in the country.

The agreement with local firm Modern Drug Industries will see GSK medicines packaged and manufactured at their Baghdad facilities.

With an increasing number of international pharmaceutical companies vying for business in Iraq, GSK hopes that establishing a secondary local manufacturer will provide a significant advantage when competing for tenders in future.

GSK said producing drugs closer to the customer would improve their cost base and enable them to sell products on at an “access price”.

The company said it also has plans to open its first private business in the country since the invasion by year-end and will be hiring a “significant number” of local staff.

From 2011

http://pharma.about.com/b/2011/08/07/glaxosmithklines-iraq-deal.htm

Iraq remains a dangerous place to live and do business due to ongoing violence and political instability. But that isn’t stopping impatient investors anxious to take part in the nation’s rebuilding. GlaxoSmith Kline (GSK), Britain’s largest pharmaceutical company, has signed an agreement with Modern Drug Industries, an Iraqi company, to manufacture and package drugs in Baghdad.

GSK has been the Iraq Ministry of Health’s main supplier of vaccines and other medicines for more than 20 years. Now GSK plans to be the first pharma giant to enter the Iraq market since the 2003 invasion.

http://seroxatsecrets.wordpress.com/2007/08/29/harrington-investments-divests-from-glaxosmithkline/

Harrington Investments Divests From GlaxoSmithKline (2007)

August 29, 2007

Contact: Jack Ucciferri

(707) 257-7923 Fax

(707) 252-6166 Voice

www.harringtoninvestments.com

Harrington Investments Divests From GlaxoSmithKline

Cites Litany of Concerns

Napa, CA – Harrington Investments, Inc. (HII), a socially responsible investment (SRI) advisory firm, announced today that it has divested from GlaxoSmithKline (GSK) stock.

“In accordance with our long term investment management style, we would prefer to remain invested in GSK,” said John Harrington, President and CEO of Harrington Investments. “However, we have a fiduciary duty to our clients that includes a comprehensive review of a corporation’s overall operations and reputation.”

In a letter to GlaxoSmithKline CEO, Jean-Pierre Garnier, Harrington listed six points of concern with the company, including investigations for shady business dealings with Saddam Hussein, improper marketing of anti-depressants, and tax avoidance.

The letter also cited GSK’s inability to address the concerns of animal rights activists and its resistance to providing affordable AIDS drugs to developing countries.

The list concludes: “On a lighter note, we are bemused that GSK – one of the largest drug makers in the world – was recently ‘busted’ by two 14-year-old schoolgirls for wildly exaggerating the quantity of vitamin C present in a popular children’s fruit drink! Unfortunately, however, this action on the part of GSK continues to undermine your company’s reputation and your management’s credibility.”

Like many SRI firms, HII proactively avoids, or ‘screens out,’ stocks of corporations with significant negative environmental, social, and/or corporate governance (ESG) issues. Once it decides to purchase shares in a company, HII generally tries to work with corporate management to improve ESG performance.

HII’s divestiture of GSK stock is a reaction to corporate management’s consistent failure to address important investor fiduciary concerns.

#######

Jack Ucciferri
Research and Advocacy Director (RAD)
Harrington Investments, Inc.

ph. 707.252.6166
fax 707.257.7923

GSK Corruption in Iraq… More Details Emerge… (Wall St Journal)


http://online.wsj.com/news/articles/SB10001424052702303532704579476862300832806?mg=reno64-wsj&url=http%3A%2F%2Fonline.wsj.com%2Farticle%2FSB10001424052702303532704579476862300832806.html

Glaxo Investigates Bribery Accusations in the Mideast

Emails to U.K. Drug Maker Allege Corrupt Practices in Iraq

CONNECT

April 6, 2014 3:48 p.m. ET

Chinese authorities last summer accused GlaxoSmithKline of bribing doctors. Bloomberg News

GlaxoSmithKline GSK.LN -1.51% PLC is investigating allegations of bribery by employees in the Middle East, according to emails reviewed by The Wall Street Journal, opening a new front for the company as it manages a separate corruption probe in China.

A person familiar with Glaxo’s Mideast operations emailed the U.K. drug company late last year and earlier this year to report what the person said were corrupt practices in Iraq, including continuing issues and alleged misconduct dating from last year and 2012.

The emails cite behavior similar to Glaxo’s alleged misconduct in China, including alleged bribery of physicians.

Chinese authorities last summer accused Glaxo of bribing doctors and since have been investigating the company. China said last July that it had detained four of Glaxo’s senior Chinese staff, but none has been charged. Glaxo says it appears that some its senior staff in China may have broken the law and that it is cooperating with the investigation. The company has cut some staff in China in connection with the inquiry, a person familiar with that matter said.

Glaxo said it takes all of the allegations seriously and started investigating the Iraq matters as soon as it became aware of them. The investigations are continuing.

The person familiar with Glaxo’s Mideast operations emailed the company saying, “I believe GSK practices in Iraq violate the FCPA and the U.K. Bribery Act.” The U.S. Foreign Corrupt Practices Act addresses bribery of foreign officials by U.S. businesses or foreign corporations trading securities in the U.S.

In an email, the person said Glaxo hired 16 government-employed physicians and pharmacists in Iraq as paid sales representatives for the company while they continued to work for the government.

A government-employed Iraqi emergency-room physician has prescribed Glaxo products, even when they weren’t in the hospital’s pharmacy and a competitor’s brand was in stock, an email from the person said.

Glaxo has been hiring government-employed Iraqi doctors as medical representatives and paying their expenses to attend international conferences, the person alleged in the emails. Glaxo pays other doctors high fees to give lectures in exchange for promoting and prescribing its drugs, the allegations continued.

After Glaxo won a contract with the Iraqi Ministry of Health in 2012 to supply the company’s Rotarix vaccine, Glaxo paid for a workshop in Lebanon for Iraqi Ministry of Health officials, the email said. That included paying for a doctor’s family to travel to Lebanon “so it would be a family vacation for him at the hotel.”

The emails to Glaxo said that the person planned to share the information with the U.S. Justice Department and the Securities and Exchange Commission. The agencies declined to comment.

A new whistleblower program at the SEC, established in 2010 with the passage of theDodd-Frank financial-reform act, provides cash incentives for employees to report securities violations, including breaches of the FCPA. If the SEC gets involved and finds wrongdoing after a whistleblower complaint, the person stands to gain as much as 30% of any monetary sanction the agency recovers.

Glaxo has disclosed in SEC filings that the Justice Department has been investigating the company since 2011 as part of an industrywide bribery probe into pharmaceutical companies. It was unclear if the Justice Department is investigating the allegations in China or those raised by the person in the Mideast.

Glaxo responded to the emails, saying the allegations were being taken seriously. “Our collection and analysis of data continues and the scope of the investigation now covers several countries and business units” in the Gulf and Near East region, said a March 13 email from Glaxo’s head of compliance investigations to the person. The Glaxo region includes the nine countries of United Arab Emirates, Qatar, Bahrain, Oman, Kuwait, Lebanon, Syria, Jordan and Iraq.

“We have members from Legal (internal & external), Compliance, Corporate Security and ABAC working on this as a team with the full support of the Corporate Executive Team and Board members,” the email from Glaxo’s compliance head said. ABAC stands for antibribery and corruption, according to an earlier email from the same person. “This is a substantial piece of work to undertake both in volume and complexity so it will continue to take some time to complete.”

The drug maker has zero tolerance for unethical or illegal behavior, has strict controls in place globally with regard to compliance matters, bribery and corruption, and takes the allegations seriously, Glaxo said in a statement to the Journal. Glaxo has reinforced governance requirements in Iraq, including those covering payments to doctors and travel agencies, provision of samples and processes around public-tender submissions like the awarding of government vaccine contracts, the statement said.

The company has also put a temporary stop to all interactions between Glaxo and government officials in the region, “to ensure any activity is in compliance with our policies and procedures,” Glaxo said.

Glaxo said in December that it was stopping all payments to doctors to attend conferences or speak about its drugs—a policy it expects to be in place globally by 2016.

Write to Christopher M. Matthews at christopher.matthews@wsj.com and Hester Plumridge at Hester.Plumridge@wsj.com

Infinite Coincidence

"Do I contradict myself? Very well, then I contradict myself."

Rebel City Writers

A radical perspective on local, national and international issues from the pens of a few disgruntled agitators!

Critical Dispatches

Follow me on Twitter and Instagram @RichyDispatch

~ L to the Aura ~

sustainability. compassion. inspiration.

Chaos Theory and Pharmacology

A blog dedicated to the study of complex relationships in pharmacology. “Journalism is printing what someone else does not want printed: everything else is public relations.” ― George Orwell | CC-0

In the Wake of Suicide....trying to understand

I trust in you, O' Lord, my Savior, the One who died and rose again…. the One who brought me in and will carry me out, the Almighty waters and tides that bring us life. I come to You when there is no where else to turn, I come to You when there is. I look to You as my guiding Light, my Savior…. the One who created all I see- created my life and dreams before I knew myself~ created my talents and style before I knew the value~ I praise You and adore Your mystery. I will be strong and conquer as You would want for me. I beg of your blessings and miracles even though I am unworthy of Your power…. Yet, I trust in You~ and know You have already begun Your work. I love You. I don't know if that is a good enough word, "love"~ But I know You on a level---beyond words. Save me Lord. I will not let go of You. Hear me O' Lord. In Christ's Powerful Name Amen ~ By Brandon Heath

Heroes Not Zombies

becoming not being.......

DES Daughter Network

Because Social Media increases Awareness and brings the DES Community Together

recovery network: Toronto

people can and do recover from what is sometimes called "mental illness"

Deidra Alexander's Blog

I have people to kill, lives to ruin, plagues to bring, and worlds to destroy. I am not the Angel of Death. I'm a fiction writer.

MuseBoxx

Space to Create

Life and all things Love....

My Blog. My Life. My Words.

%d bloggers like this: