Pharmaceutical Corruption News Stories
Excerpts of Key Pharmaceutical Corruption News Stories in Major Media
Below are many highly revealing excerpts of important pharmaceutical corruption news stories reported in the major media that suggest a major cover-up.
Links are provided to the full stories on their mainstream media websites. If any link should fail to function, click here
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This comprehensive list of pharmaceutical corruption news stories is usually updated once a week
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Many Medicines Are Potent Years Past Expiration Dates
2000-03-28, Wall Street Journal
Posted: 2011-08-10 09:36:23
Do drugs really stop working after the date stamped on the bottle? Fifteen years ago, the U.S. military decided to find out. Sitting on a $1 billion stockpile of drugs and facing the daunting process of destroying and replacing its supply every two to three years, the military began a testing program to see if it could extend the life of its inventory. The testing, conducted by the U.S. Food and Drug Administration, ultimately covered more than 100 drugs, prescription and over-the-counter. The results ... show that about 90% of them were safe and effective far past their original expiration date, at least one for 15 years past it. The program's returns have been huge. The military from 1993 through 1998 spent about $3.9 million on testing and saved $263.4 million on drug expense. In light of these results, a former director of the testing program, Francis Flaherty, says he has concluded that expiration dates put on by manufacturers typically have no bearing on whether a drug is usable for longer. "Manufacturers put expiration dates on for marketing, rather than scientific, reasons," says Mr. Flaherty, a pharmacist at the FDA until his retirement last year. "They want turnover." Joel Davis, a former FDA expiration-date compliance chief, says that with a handful of exceptions - notably nitroglycerin, insulin and some liquid antibiotics - most drugs are probably as durable as those the agency has tested for the military. "Most drugs degrade very slowly," he says. "In all likelihood, you can take a product you have at home and keep it for many years." Drug-industry officials ... acknowledge that expiration dates have a commercial dimension.
Note: As the Wall Street Journal charges to view this article at the above link, you can view it free here. For lots more on how the pharmaceutical industry cares more about profits than your health, click here.
The costly war on cancer
2011-05-26, The Economist Magazine
Posted: 2011-06-28 11:55:51
Cancer is not one disease. It is many. Yet oncologists have long used the same blunt weapons to fight different types of cancer: cut the tumour out, zap it with radiation or blast it with chemotherapy that kills good cells as well as bad ones. New cancer drugs are changing this. Scientists are now attacking specific mutations that drive specific forms of cancer. A breakthrough came more than a decade ago when Genentech, a Californian biotech firm, launched a drug that attacks breast-cancer cells with too much of a certain protein, HER2. In 2001 Novartis, a Swiss drugmaker, won approval for Gleevec, which treats chronic myeloid leukaemia by attacking another abnormal protein. Other drugs take different tacks. Avastin, introduced in America in 2004 by Genentech, starves tumours by striking the blood vessels that feed them. These new drugs sell well. Last year Gleevec grossed $4.3 billion. Roche’s Herceptin (the HER2 drug) and Avastin did even better: $6 billion and $7.4 billion respectively. The snag, from society’s point of view, is that all these drugs are horribly expensive. Last year biotech drugs accounted for 70% of the increase in pharmaceutical costs in America, according to Medco, a drug-plan manager. Cancer plays a huge role in raising costs.
Note: To see what happens when inexpensive potential cures for cancer are discovered, click here. For key reports on health issues from reliable sources, click here.
Movie review: 'Burzynski'
2010-06-17, Los Angeles Times
Posted: 2011-06-22 11:30:41
Eric Merola's 'Burzynski' charts how a Texas medical doctor and biochemist developed Antineoplastons, genetic-targeted medicines, and with them began to treat a wide range of cancers, including difficult-to-treat brain malignancies, with remarkable and continuing success only to bring down the full force of the medical establishment, which has laid assault to him in the most stupefying, devious and costly manner. Stanislaw Burzynski, a Polish immigrant ... eventually won a 14-year struggle – during which he found himself threatened with life imprisonment and astronomical fines for fraud and other violations – to obtain FDA-approved clinical trials of his Antineoplastons, an ordeal that cost Burzynski $2.2 million in legal expenses and the FDA $60 million in taxpayers' money. The film makes the case that big pharmacy holds the FDA in its thrall. Burzynski's Antineoplastons, with their high success rate and lack of side effects, pose a significant threat to the trillion-dollar industry of treating cancer with the traditional methods of surgery, radiation and chemotherapy.
Note: The Los Angeles Times now requires payment to view this article at this link. For the Burzynski clinic website, click here. You can watch part or all of this revealing movie at this link. For another powerful documentary featuring a variety of potential cancer cures that have been suppressed, click here. For excerpts from numerous major media articles with potential cancer cures that are being suppressed, click here.
Latest target in FDA war on raw milk
2011-05-22, San Francisco Chronicle (San Francisco's leading newspaper)
Posted: 2011-05-31 17:23:53
Pennsylvania Amish farmer Dan Allgyer has become a cause celebre for raw milk drinkers as the target of a Food and Drug Administration campaign - using sting operations and guns-drawn raids usually reserved for terrorists and drug lords - to eliminate unpasteurized milk. Such milk, also known as raw or fresh milk, is legal in California and considered essential to Europe's finest cheeses, creams and butters. Allgyer is the latest to feel the force of a yearslong Food and Drug Administration campaign against raw milk that has focused on tiny farms and consumer co-ops. Raw milk drinkers say cooking milk diminishes its flavor and nutrients. They said similar sterilization standards, if applied across the American diet, would ban sushi, medium-rare steaks, oysters on the shell and most raw fruits and vegetables. The Food Safety and Modernization Act approved by Congress last year and signed by President Obama in January has vastly enhanced the agency's powers. Starting July 3, the agency can confiscate any food at any farm that it deems unsafe or mislabeled. Throughout Europe, uncooked milk is the norm, dispensed in vending machines in Switzerland, Austria, France, Italy, Slovenia and the Netherlands. It is healthy, adherents say, because it contains fat that is not broken down by homogenization and is free of antibiotics and hormones, because cows are raised in small herds on pastures.
Patents Over Patients
2007-04-01, New York Times
Posted: 2011-05-31 17:11:52
We could make faster progress against cancer by changing the way drugs are developed. In the current system, if a promising compound can’t be patented, it is highly unlikely ever to make it to market — no matter how well it performs in the laboratory. The development of new cancer drugs is crippled as a result. The reason for this problem is that bringing a new drug to market is extremely expensive. In 2001, the estimated cost was $802 million; today it is approximately $1 billion. To ensure a healthy return on such staggering investments, drug companies seek to formulate new drugs in a way that guarantees watertight patents. In the meantime, cancer patients miss out on treatments that may be highly effective and less expensive to boot. In 2004, Johns Hopkins researchers discovered that an off-the-shelf compound called 3-bromopyruvate could arrest the growth of liver cancer in rats. The results were dramatic; moreover, the investigators estimated that the cost to treat patients would be around 70 cents per day. Yet, three years later, no major drug company has shown interest in developing this drug. The hormone melatonin, sold as an inexpensive food supplement in the United States, has repeatedly been shown to slow the growth of various cancers when used in conjunction with conventional treatments. Early this year, another readily available industrial chemical, dichloroacetate, was found by researchers at the University of Alberta to shrink tumors in laboratory animals by up to 75 percent. However ... dichloroacetate is not patentable, and the lead researcher is concerned that it may be difficult to find funding from private investors to test the chemical. Potential anticancer drugs should be judged on their scientific merit, not on their patentability.
Note: To explore several cancer cures which have shown dramatic potential, yet are not being studied for lack of funds due to inability to patent the process, click here. Why are these very promising treatments not being fast-tracked as the expensive AIDS drugs were? For a top MD's revealing comments on this, click here. And for why the media won't feature these promising cancer treatments in headlines, click here.
Study: US Quietly Paid Families For Vaccine-Linked Autism Cases
2011-05-11, CBS Los Angeles
Posted: 2011-05-17 13:09:50
Federal health officials may have only recently called autism a “national health emergency”, but a new study released [on May 11] showed the U.S. has been quietly compensating families with autism for nearly two decades. The report from SafeMinds.org — a group that believes scientific evidence has linked autism to vaccinations – alleges that a fund set up by the U.S. government to compensate those injured by vaccines has paid out claims to dozens of families of autistic kids. The study conducted by the Pace Environmental Law Review revealed that since the late 1980s, the National Vaccine Injury Compensation Program (NVICP) has paid money for 83 cases involving autism out of approximately 1,300 cases of vaccine injury that resulted in childhood brain injury. In that same time period, federal officials have maintained that autism — which now affects an estimated one in 110 individuals — is still “rare” and has publicly conceded to only one vaccine-induced autism case involving nine-year-old Hannah Poling. The study’s authors stand behind the findings and warn they are only “the tip of the iceberg.” Currently, there are over 5,000 vaccine court cases pending that claim autism as a result of vaccine injury.
Note: For more information from major media sources on the dangers of vaccines, click here. And for a fascinating study suggesting that vaccines are much less effective than is publicly acknowledged, click here.
US Supreme Court won't review drug patent deal
2011-03-07, The Guardian/Reuters
Posted: 2011-03-22 17:47:19
The U.S. Supreme Court let stand a ruling that drug companies can pay rivals to delay production of generic drugs without violating federal antitrust laws. The justices refused to review a federal appeals court ruling that upheld the dismissal of a legal challenge to a deal between Bayer AG and Teva Pharmaceutical Industries Ltd's Barr Laboratories. Bayer paid Barr to prevent it from bringing to market a version of the antibiotic drug Cipro. The deal, involving Bayer's 1997 settlement of patent litigation with Barr, was challenged by a number of pharmacies, which appealed to the Supreme Court. More than 30 states and various consumer groups supported the appeal. The U.S. Federal Trade Commission has opposed such deals, saying they violate antitrust law and cost consumers an estimated $3.5 billion a year in higher prescription drug prices. It has supported legislation pending in Congress to prohibit such settlements, which it says have increased in recent years. The New York-based appeals court, in its ruling last year, cited its similar 2005 decision involving the drug Tamoxifen, used to treat breast cancer, infertility and other conditions. The Supreme Court declined to review that case. In the Cipro case, the Supreme Court rejected the appeal by the pharmacies without comment.
Note: For lots more from reliable sources on government and corporate corruption, click here and here.
Supreme Court shields vaccine makers from lawsuits
2011-02-22, Los Angeles Times
Posted: 2011-02-28 11:27:18
The Supreme Court on [February 22] shielded the nation's vaccine makers from being sued by parents who say their children suffered severe side effects from the drugs. By a 6-2 vote, the court upheld a federal law that offers compensation to these victims but closes the courthouse door to lawsuits. Justice Antonin Scalia said the high court majority agreed with Congress that these side effects were "unavoidable" when a vaccine is given to millions of children. If the drug makers could be sued and forced to pay huge claims for devastating injuries, the vaccine industry could be wiped out, he said. The American Academy of Pediatrics applauded the decision. The ruling was a defeat for the parents of Hannah Bruesewitz, who as a child was given a standard vaccination for diphtheria, tetanus and pertussis. She later suffered a series of seizures and delayed development. Her parents sought compensation for her injuries, but their claim was turned down. They then sued the drug maker in a Pennsylvania court, contending that the vaccine was defectively designed. A judge and the U.S. Court of Appeals in Philadelphia ruled they were barred from suing, and the Supreme Court affirmed that judgment.
Note: For powerful evidence that childhood vaccines are much less effective than is generally believed, click here.
Why Almost Everything You Hear About Medicine Is Wrong
Posted: 2011-02-13 00:34:46
If you follow the news about health research, you risk whiplash. First garlic lowers bad cholesterol, then—after more study—it doesn’t. Hormone replacement reduces the risk of heart disease in postmenopausal women, until a huge study finds that it doesn’t. But what if wrong answers aren’t the exception but the rule? More and more scholars who scrutinize health research are now making that claim. It isn’t just an individual study here and there that’s flawed, they charge. Instead, the very framework of medical investigation may be off-kilter, leading time and again to findings that are at best unproved and at worst dangerously wrong. The result is a system that leads patients and physicians astray—spurring often costly regimens that won’t help and may even harm you. Even a cursory glance at medical journals shows that once heralded studies keep falling by the wayside. A major study concluded there’s no good evidence that statins (drugs like Lipitor and Crestor) help people with no history of heart disease. The study ... was based on an evaluation of 14 individual trials with 34,272 patients. Cost of statins: more than $20 billion per year. “Positive” drug trials, which find that a treatment is effective, and “negative” trials, in which a drug fails, take the same amount of time to conduct. But negative trials took an extra two to four years to be published. With billions of dollars on the line, companies are loath to declare a new drug ineffective. As a result of the lag in publishing negative studies, patients receive a treatment that is actually ineffective. From clinical trials of new drugs to cutting-edge genetics, biomedical research is riddled with incorrect findings.
Note: For the good of your health, the entire article at the link above is well worth reading. For lots more on how the profit-oriented health profession puts public health at risk, click here and here.
Avastin increases fatal side effects in cancer patients
2011-02-02, USA Today
Posted: 2011-02-07 15:41:31
One of the most financially successful cancer drugs in the world appears to cause more fatal side effects than previously realized, a new study says. Avastin, a blockbuster drug with more than $5.5 billion in global sales, increases the rate of fatal side effects by almost 50% when added to traditional chemotherapy, compared with chemo alone. About 2.5% of cancer patients who combine Avastin and chemo die from their treatment — rather than their disease, according to an analysis of 10,217 patients in today's Journal of the American Medical Association. In comparison, 1.7% of cancer patients who received only conventional chemo died as a result of therapy. The most common causes of death were hemorrhages, the loss of infection-fighting white blood cells, and perforations in the stomach or intestines, says Shenhong Wu of Stony Brook University School of Medicine, co-author of the analysis of 10,217 patients.
Note: Sadly, most studies that reveal such results are suppressed by the pharmaceutical industry.
Top Ten Legal Drugs Linked to Violence
2011-01-07, Time Magazine
Posted: 2011-01-31 12:39:32
When people consider the connections between drugs and violence, what typically comes to mind are illegal drugs like crack cocaine. However, certain medications — most notably, some antidepressants like Prozac — have also been linked to increase risk for violent, even homicidal behavior. A new study from the Institute for Safe Medication Practices published in the journal PloS One and based on data from the FDA's Adverse Event Reporting System has identified 31 drugs that are disproportionately linked with reports of violent behavior towards others. Please note that this does not necessarily mean that these drugs cause violent behavior. Nonetheless, when one particular drug in a class of nonaddictive drugs used to treat the same problem stands out, that suggests caution: unless the drug is being used to treat radically different groups of people, that drug may actually be the problem. Here are the top ten offenders: * 10. Desvenlafaxine (Pristiq) * 9. Venlafaxine (Effexor) * 8. Fluvoxamine (Luvox) * 7. Triazolam (Halcion) * 6. Atomoxetine (Strattera) * 5. Mefoquine (Lariam) * 4. Amphetamines: (Various) * 3. Paroxetine (Paxil) * 2. Fluoxetine (Prozac) * 1. Varenicline (Chantix)
Note: As mentioned in this article, all of these drugs are 8 to 18 times time more likely to be linked to violent acts than other drugs. For excellent reports on health issues from reliable sources, click here.
Glaxo Whistle-Blower Lawsuit: Bad Medicine
2011-01-02, CBS News 60 Minutes
Posted: 2011-01-24 10:04:40
Of all the things that you trust every day, you want to believe your prescription medicine is safe and effective. The pharmaceutical industry says that it follows the highest standards for quality. But in November, we found out just how much could go wrong at one of the world's largest drug makers. A subsidiary of GlaxoSmithKline pleaded guilty to distributing adulterated drugs. Some of the medications were contaminated with bacteria, others were mislabeled, and some were too strong or not strong enough. It's likely Glaxo would have gotten away with it had it not been for a company insider: a tip from Cheryl Eckard set off a major federal investigation. Eckard worked in Glaxo quality control and over ten years she had risen to become a manager of global quality assurance. In 2002, Eckard was assigned to help lead a quality assurance team to evaluate one of Glaxo's most important plants, in Cidra, Puerto Rico. Nine hundred people worked there, making 20 drugs for patients in the U.S. But Eckard says that when she saw what was happening to some of the company's most popular drugs, she couldn't believe it. "All the systems were broken, the facility was broken, the equipment was broken, the processes were broken. It was the worst thing I had run across in my career," she [said]. As her team continued its evaluation of the plant, Eckard says ... that powerful medications were getting mixed up.
Note: For lots more on how this major pharmaceutical is endangering lives, watch the 60 Minutes video segment at the above link.
When Insurers Put Profits Between Doctor and Patient
2011-01-06, New York Times
Posted: 2011-01-17 11:17:28
In articles, interviews, op-eds and testimony on Capitol Hill, Wendell Potter has described the dark underbelly of the health care insurance industry — unkept promises of care, canceled coverage of those who get sick and fearmongering campaigns designed to quash any change that might adversely affect profits. He should know what he is talking about. For 20 years, Mr. Potter was the head of corporate communications at two major insurers, first at Humana and then at Cigna. Now Mr. Potter has written a fascinating book that details the methods he and his colleagues used to manipulate public opinion and describes his transformation from the idealistic son of working-class parents in eastern Tennessee to top insurance company executive, to vocal critic and industry watchdog. Using little of the fiery rhetoric or lurid prose that usually marks corporate exposés or memoirs of redemption, the book, Deadly Spin ... is an evenhanded yet riveting account of the inner workings of the health care insurance industry, a cautionary tale that doctors and patients would be wise not to miss. Mr. Potter [describes] the myth-making he did, interspersing descriptions of front groups, paid spies and jiggered studies with a deft retelling of the convoluted (and usually eye-glazing) history of health care insurance policies.
Note: Mr. Potter has written a powerful condemnation of health care industry practices at this link. For other major media articles on this courageous whistleblower, click here. And for other highly informative reports on important health issues, click here.
Stanford faculty still taking drug firms' money
2010-12-20, San Francisco Chronicle/ProPublica
Posted: 2010-12-28 17:57:35
Last year, Stanford banned its physicians from giving paid promotional talks for pharmaceutical companies. One thing it didn't do was make sure its faculty followed that rule. A ProPublica investigation ["Dollars for Docs"] found that more than a dozen of the school's doctors were paid speakers in apparent violation of Stanford policy - two of them were paid six figures since last year. Conflict-of-interest policies have become increasingly important as academic medical centers worry that promotional talks undermine the credibility not only of the physicians giving them, but also of the institutions they represent. Yet when it comes to enforcing the policies, universities have allowed permissive interpretations and relied on the honor system. That approach isn't working. Many physicians are in apparent violation, and ignorance or confusion about the rules is widespread. As a result, some faculty physicians stay on the industry lecture circuit, where they can net tens of thousands of dollars in additional income. Critics of the practice say delivering talks for drug companies is incompatible with teaching future generations of physicians. That's because drug firms typically pick the topic of the lecture, train the speakers and require them to use company-provided presentation slides.
Note: "Dollars for Docs" is an ongoing investigation into the influence of drug company marketing payments on medical providers. To search for a doctor in the database, click here.
WikiLeaks cables: Pfizer 'used dirty tricks to avoid clinical trial payout'
2010-12-09, The Guardian (One of the UK's leading newspapers)
Posted: 2010-12-20 17:38:52
The world's biggest pharmaceutical company hired investigators to unearth evidence of corruption against the Nigerian attorney general in order to persuade him to drop legal action over a controversial drug trial involving children with meningitis, according to a leaked US embassy cable. Pfizer was sued by the Nigerian state and federal authorities, who claimed that children were harmed by a new antibiotic, Trovan, during the trial, which took place in the middle of a meningitis epidemic of unprecedented scale in Kano in the north of Nigeria in 1996. But the cable suggests that the US drug giant did not want to pay out to settle the two cases – one civil and one criminal – brought by the Nigerian federal government. The cable reports a meeting between Pfizer's country manager, Enrico Liggeri, and US officials at the Abuja embassy on 9 April 2009. It states: "According to Liggeri, Pfizer had hired investigators to uncover corruption links to federal attorney general Michael Aondoakaa to expose him and put pressure on him to drop the federal cases. He said Pfizer's investigators were passing this information to local media." The cable ... continues: "A series of damaging articles detailing Aondoakaa's 'alleged' corruption ties were published in February and March. Liggeri contended that Pfizer had much more damaging information on Aondoakaa and that Aondoakaa's cronies were pressuring him to drop the suit for fear of further negative articles."
Note: For more on this revealing case, see the New York Times article available here.
A placebo is a placebo is a placebo ... or maybe not, a new study suggests
2010-10-18, The Los Angeles Times
Posted: 2010-11-29 21:24:40
Many drug trials involve a placebo, a sham drug whose results are compared with the results of the real medication. A placebo is supposed to contain a harmless substance, such as sugar or vegetable oil, which has no significant effect on the body. In [a new] study, researchers delved into 176 studies published in reputable medical journals ... from January 2008 to December 2009 to see if placebo contents were disclosed and if so, what they were. The study authors argue that placebo ingredients may not always be as inconsequential as some may think. They write: "For instance, olive oil and corn oil have been used as the placebo in trials of cholesterol-lowering drugs. This may lead to an understatement of drug benefit: The monounsaturated and polyunsaturated fatty acids of these 'placebos,' and their antioxidant and anti-inflammatory effects, can reduce lipid levels and heart disease." Certain placebos, they add, may skew results in favor of the active drug. The researchers referenced a trial for a drug used to treat anorexia linked with cancer in which a lactose placebo was used. Since lactose intolerance is common among cancer patients, the fact that some suffered stomach problems from the placebo may have made the actual drug look more beneficial. "Perfect placebo is not the aim," they write, "rather, we seek to ensure that its composition is disclosed."
Note: For key reports from major media sources on important issues related to health and medicine, click here.
McDonald's and PepsiCo to help write UK health policy
2010-11-12, The Guardian (One of the UK's leading newspapers)
Posted: 2010-11-22 15:02:54
The Department of Health is putting the fast food companies McDonald's and KFC and processed food and drink manufacturers such as PepsiCo, Kellogg's, Unilever, Mars and Diageo at the heart of writing government policy on obesity, alcohol and diet-related disease. In an overhaul of public health, said by [critics] to be the equivalent of handing smoking policy over to the tobacco industry, health secretary Andrew Lansley has set up five "responsibility deal" networks with business, co-chaired by ministers, to come up with policies. The groups are dominated by food and alcohol industry members, who have been invited to suggest measures to tackle public health crises. The alcohol responsibility deal network is chaired by the head of the lobby group the Wine and Spirit Trade Association. The food network to tackle diet and health problems includes processed food manufacturers, fast food companies, and Compass, the catering company. The food deal's sub-group on calories is chaired by PepsiCo, owner of Walkers crisps. The leading supermarkets are an equally strong presence. In early meetings, these commercial partners have been invited to draft priorities and identify barriers, such as EU legislation, that they would like removed. They have been assured by Lansley that he wants to explore voluntary not regulatory approaches, and to support them in removing obstacles.
Note: For lots more from reliable sources on corporate and government corruption, click here and here.
Disciplined doctors receiving pharmaceutical funds
2010-11-18, San Francisco Chronicle (San Francisco's leading newspaper)
Posted: 2010-11-22 12:59:43
About 48 of the more than 1,730 California doctors who received money from pharmaceutical companies over the past 21 months have been the subject of disciplinary action, a database compiled by the investigative news organization ProPublica found. While that represents less than 3 percent of the California doctors who take pharmaceutical money, the fact that drug companies are paying those doctors - some of whom have multiple disciplinary actions - for their expertise calls into question how closely these companies vet the physicians who serve as the spokespeople for their drugs.
California doctors have received $28.6 million from top pharmaceutical companies since 2009, with at least three physicians collecting more than $200,000 and 36 others making more than $100,000 for promoting drug firm products. That cash flowing from drug companies to doctors has raised ethical concerns from some observers. "If they're getting as much money from pharmaceutical companies as they do for being a doctor, what are they really? Are they working for a pharmaceutical company, or are they being a doctor?" asked Lisa Bero, a pharmacy professor at UCSF who studies conflicts of interest in medicine and research.
Note: For a detailed analysis of corruption in the pharmaceutical industry by a highly-respected doctor, click here.
Glaxo to Pay $750 Million for Sale of Bad Products
2010-10-27, New York Times
Posted: 2010-11-15 16:46:08
GlaxoSmithKline, the British drug giant, has agreed to pay $750 million to settle criminal and civil complaints that the company for years knowingly sold contaminated baby ointment and an ineffective antidepressant – the latest in a growing number of whistle-blower lawsuits that drug makers have settled with multimillion-dollar fines. Altogether, GlaxoSmithKline sold 20 drugs with questionable safety that were made at a huge plant in Puerto Rico that for years was rife with contamination. Cheryl D. Eckard, the company's quality manager, asserted in her whistle-blower suit that she had warned Glaxo of the problems but the company fired her instead of addressing them. Among the drugs affected were Paxil, an antidepressant; Bactroban, an ointment; Avandia, a troubled diabetes drug; Coreg, a heart drug; and Tagamet, an acid reflux drug. Justice Department officials announced the settlement in a news conference Tuesday afternoon in Boston, saying a $150 million payment to settle criminal charges was the largest such payment ever by a manufacturer of adulterated drugs. The outcome also provides $600 million in civil penalties. The share to the whistle-blower will be $96 million, one of the highest such awards in a health care fraud case.
Note: For key reports from major media sources on corporate corruption and criminality, click here.
Ex-Glaxo Executive Is Charged in Drug Fraud
2010-11-10, New York Times
Posted: 2010-11-15 16:43:40
In a rare move, the Justice Department on Tuesday announced that it had charged a former vice president and top lawyer for the British drug giant GlaxoSmithKline with making false statements and obstructing a federal investigation into illegal marketing of the antidepressant Wellbutrin for weight loss. "This is absolutely precedent-setting – this is really going to set people's hair on fire," said Douglas B. Farquhar, a Washington lawyer. "This is indicative of the F.D.A. and Justice strategy to go after the very top-ranking managing officials at regulated companies." The indictment accuses the Glaxo official, Lauren C. Stevens of Durham, N.C., of lying to the Food and Drug Administration in 2003, by writing letters, as associate general counsel, denying that doctors speaking at company events had promoted Wellbutrin for uses not approved by the agency. Ms. Stevens "made false statements and withheld documents she recognized as incriminating," including slides the F.D.A. had sought during its investigation, the indictment stated. The company was cooperating fully with a federal investigation into allegations of illegal sales and marketing of Wellbutrin. Last year, it set aside $400 million to resolve the case, which is still pending. Two weeks ago, in an unrelated case, GlaxoSmithKline agreed to pay $750 million to the government to settle civil and criminal complaints that it sold tainted or ineffective products from a large manufacturing facility in Puerto Rico.
Note: Even with fines in the hundreds of millions of dollars assessed to many of the large pharmaceuticals, why isn't more being done? See what one of the top doctors in the US revealed about corruption in health care at this link.