04 Sep 2013, BioSpectrum Bureau , BioSpectrum
Singapore: In yet another shocking revelation made by the Chinese police in the GlaxoSmithKline (GSK) bribery scandal, news reports by Xinhua allege that the Chinese arm of GlaxoSmithKline (GSK) co-ordinated the $489 million bribery scandal rather than a select group of individuals.
After the Chinese police arrested four GSK workers last month over allegations that the company funnelled bribes to doctors and officials to boost medicine sales, the pharma giant had tried to blame the individuals, with chief executive Sir Andrew Witty saying, "It appears that certain senior executives in the China business have acted outside our processes and controls to defraud the company and the Chinese health care system."
However, the news agency reported that Chinese prosecutors said, "It is becoming clear that the scandal was organized by GSK China rather than individual sales personnel."
The news agency quoted Mr Huang Hong, general manager, China, GSK, as saying that the firm had implemented salary policies based on sales goals that could not be achieved without "dubious corporate behavior". The People's Daily, China, quoted Mr Guo Jianhua, head, recruitment, GSK China, as saying the firm had turned a blind eye to illegal behavior.
A GSK spokesman said, "We remain deeply concerned by the allegations of fraudulent behavior and ethical misconduct in our China business."