Exclusive: Allegations of GSK corruption spread to Syria

Discussion in 'GlaxoSmithKline' started by Anonymous, Jul 24, 2014 at 6:00 PM.

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  1. Anonymous

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    Reuters

    GlaxoSmithKline (GSK.L) faces new allegations of corruption, this time in Syria, where the drugmaker and its distributor have been accused of paying bribes to secure business, according to a whistleblower's email reviewed by Reuters.

    Britain's biggest drugmaker said on Thursday it was investigating the latest claims dating back to 2010, which were laid out in the email received by the company on July 18.

    The allegations relate to its former consumer healthcare operations in Syria, which were closed down in 2012 due to the worsening civil war in the country.

    Although rules governing the promotion of non-prescription products are not as strict as for prescription medicines, the email from a person familiar with GSK's Syrian operations said alleged bribes in the form of cash, speakers’ fees, trips and free samples were in breach of corruption laws.

    The detailed 5,000-word document, addressed to Chief Executive Andrew Witty and Judy Lewent, chair of GSK's audit committee, said incentives were paid to doctors, dentists, pharmacists and government officials to win tenders and to obtain improper business advantages.

    "GSK has been engaging in multiple corrupt and illegal practices in Syria and its internal controls for its Syrian operation are virtually non-existent," the email said.

    In addition, the email said GSK had engaged in apparent Syrian export control violations, including an alleged smuggling scheme to ship the drug component pseudoephedrine to Iran from Syria via Iraq. Pseudoephedrine is regulated as a precursor for making methamphetamine.

    http://www.reuters.com/article/2014/07/24/us-gsk-corruption-syria-idUSKBN0FT2B620140724