Pharmaceutical Corruption News Stories

Excerpts of Key Pharmaceutical Corruption News Stories in Major Media

Below are key excerpts of revealing news articles on pharmaceutical industry corruption from reliable news media sources. If any link fails to function, a paywall blocks full access, or the article is no longer available, try these digital tools.

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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.

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.

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.

More than 17,000 doctors and other health care providers have taken money from seven major drug companies to talk to other doctors about their products, a joint investigation by news organizations and non-profit groups found. More than 380 of the doctors, nurses, pharmacists and other professionals took in more than $100,000 in 2009 and 2010, according to the investigation. The report said far more doctors are likely to have taken such payments, but it documented these based on information from seven drugmakers. The investigation by journalism group ProPublica, Consumer Reports magazine, NPR radio and [other] publications showed doctors were sometimes urged to recommend "off-label" prescriptions of drugs, meaning using them for conditions they are not approved for. "Tens of thousands of U.S. physicians are paid to spread the word about pharma's favored pills and to advise the companies about research and marketing," the group says in its report. "This investigation begins to pull back the shroud on these activities," Dr. John Santa, director of the Consumer Reports Health Ratings Center, said in a statement. "The amount of money involved is astounding, and the ProPublica report's account of the background of some of the physicians is disturbing."

Note: This important report is available here. For more on corporate corruption, click here.

Johnson & Johnson CEO William Weldon delivered both a mea culpa and clear admission to [the Committee on Oversight and Government Reform] that his company let the public down through numerous recent drug recalls. He also admitted that the company secretly bought up defective drugs without informing regulators and consumers of its actions. The committee has been investigating circumstances that have led to more than half a dozen recalls this year of non-prescription cold and pain drugs such as Tylenol, Benadryl and Motrin made by Johnson & Johnson's McNeil Consumer Healthcare unit. Weldon's [pledge] to never let this happen again was met with some skepticism. [Committee Chairman Edolphus Towns (D-NY)] said [the] testimony indicates some very serious problems in "the way Johnson & Johnson viewed its responsibility to the public and its day-to-day relationship with the FDA." There is often a thin line between "working cooperatively" and having a "cozy relationship," he said. "The documents we have seen in this case indicate this line may have been crossed early and often."

Note: For lots more from reliable sources on corporate and government corruption, click here and here.

If you want to understand the way prescription drugs are marketed today, have a look at the 1928 book, Propaganda, by Edward Bernays, the father of public relations in America. For Bernays, the public relations business was less about selling things than about creating the conditions for things to sell themselves. When Bernays was working as a salesman for Mozart pianos, for example, he did not simply place advertisements for pianos in newspapers. That would have been too obvious. Instead, Bernays persuaded reporters to write about a new trend: Sophisticated people were putting aside a special room in the home for playing music. Once a person had a music room, Bernays believed, he would naturally think of buying a piano. As Bernays wrote, "It will come to him as his own idea." Just as Bernays sold pianos by selling the music room, pharmaceutical marketers now sell drugs by selling the diseases that they treat. The buzzword is "disease branding." To brand a disease is to shape its public perception in order to make it more palatable to potential patients. Once a branded disease has achieved a degree of cultural legitimacy, there is no need to convince anyone that a drug to treat it is necessary. It will come to him as his own idea. It is hard to brand a disease without the help of physicians, of course. So drug companies typically recruit academic "thought leaders" to write and speak about any new conditions they are trying to introduce.

Note: This key topic is discussed in great depth in the BBC's documentary "Century of the Self" available here. And for a top doctor's analysis that the cholesterol scare was largely manufactured for profit, click here.

Allergan Inc., the maker of wrinkle-smoothing Botox, has agreed to pay $600 million to settle a yearslong federal investigation into its marketing of the top-selling, botulin-based drug. The Justice Department and the company said Wednesday in a statement it will plead guilty to one misdemeanor charge of "misbranding," in which the company's marketing led physicians to use Botox for unapproved uses. Those included the treatment of headache, pain, spasticity and cerebral palsy in children. Companies are prohibited from promoting drugs for unapproved, or "off-label," uses. Allergan said it will pay $375 million in connection with the plea, which includes the forfeiture of $25 million in assets. Additionally, the company will pay $225 million in civil fines — $210 million to the federal governments and the rest to several states — related to the investigation, although the company denies liability for the civil claims. Allergan "paid kickbacks to induce [physicians] to inject Botox for off-label uses and Allergan also taught doctors how to bill for off-label uses, including coaching doctors how to miscode Botox claims leading to millions of dollars of false claims being to submitted to federal and state programs," Assistant Attorney General Tony West said.

Note: $600 million is nothing to sneeze at, yet this kind of find is becoming almost commonplace in the pharmaceutical industry. Could it be that industry chieftains are more interested in profit that public health? For more powerful information along these lines, see our two-page health summary.

Recalls of prescription and over the counter drugs are surging, raising questions about the quality of drug manufacturing in the United States. The Food and Drug Administration reported more than 1,742 recalls last year, skyrocketing from 426 in 2008, according to the Gold Sheet, a trade publication on drug quality that analyzes FDA data. One company, drug repackager Advantage Dose, accounted for more than 1,000 of those recalls. Even excluding Advantage Dose, which has shut down, recalls jumped 50% last year. "We've seen a trend where the last four years are among the top five for the most number of drug recalls since we began tallying recalls in 1988," said Bowman Cox, managing editor of the Gold Sheet. "That's a meaningful development." The fast pace of drug recalls seems to be continuing in 2010. Drug recalls totaled 296 from January through June of this year, said Cox. "If we continue at this same rate, we could get 600 or more recalls by the end of the year," he said. "That's still a very high rate of recalls." High-profile recalls of Tylenol and other products by McNeil Consumer Healthcare, a unit of Johnson & Johnson, have drawn attention to quality concerns in manufacturing. The spike in recalls, especially of generic and over-the-counter drugs, is being driven by manufacturing lapses, experts say. Some of the biggest culprits: the quality of raw materials, faulty labeling and packaging and contamination.

Note: For lots more on corporate corruption from major media sources, click here.

The Postal Service is ready to deliver lifesaving drugs to about a quarter of the residents of Minneapolis-St. Paul, the only metropolitan area in the nation where letter carriers have been trained to dispense medication after a large-scale terrorist attack involving biological weapons. Efforts are underway in six cities to train workers to deliver the drugs needed to counter anthrax or other potentially deadly agents, the White House says. The White House won't name the six cities, and Department of Homeland Security spokeswoman Amy Kudwa says she can't talk about whether more cities are interested in the voluntary program. With a model in place, the White House says it is working to expand the voluntary program to cities across the country. Minneapolis postal worker Chris Wittenburg of the National Association of Letter Carriers says setting up the program is complicated. First, letter carriers have to volunteer, undergo medical tests to make sure they can take the antibiotics, be fitted for masks (no facial hair allowed) and be trained. Routes have to be combined, and systems set up to suspend regular mail delivery in an instant, call postal workers in and send them out carrying boxes of drugs and fliers telling people what to do. About 60% of the city's letter carriers volunteered for the program, which was given a trial run in May.

Note: For lots more on the bogus "war on terror" and the anthrax attacks which helped to launch it, click here. For a recent key story on the many unanswered questions about the attacks, click here.

Nearly two years ago, a study known as the JUPITER [Justification for the Use of Statins in Primary Prevention] trial hinted at a new era in the use of statins -- one in which the cholesterol-busting drugs could be used to stave off heart-related death in many more people than just those with high cholesterol. Now, however, researchers behind a new review that takes a second look at the findings of the landmark study say that these results are flawed -- and that they do not support the benefits initially reported. Not only did this second look turn up no evidence of the "striking decrease in coronary heart disease complications" reported by investigators behind JUPITER, but it has also called into question drug companies' involvement in such trials, according to an article in the June 28 issue of Archives of Internal Medicine. Moreover, Dr. Michel de Lorgeril of Joseph Fourier University and the National Center of Scientific Research in Grenoble, France, and coauthors argue that major discrepancies exists between the significant reductions in nonfatal stroke and heart attacks reported in the JUPITER trial and what has been found in other research. "The JUPITER data set appears biased," Lorgeril and coauthors wrote in conclusion. De Lorgeril and coauthors point out that nine of 14 authors of the JUPITER article have financial relationships with AstraZeneca, which sponsored the trial.

Note: There is intriguing evidence that much of the fear around cholesterol was fabricated to sell drugs. For more on this, see the article by one of the most respected doctors on the Internet at this link.

In the fall of 1999, the drug giant SmithKline Beecham secretly began a study to find out if its diabetes medicine, Avandia, was safer for the heart than a competing pill, Actos, made by Takeda. Avandia’s success was crucial to SmithKline, whose labs were otherwise all but barren of new products. But the study’s results, completed that same year, were disastrous. Not only was Avandia no better than Actos, but the study also provided clear signs that it was riskier to the heart. But instead of publishing the results, the company spent the next 11 years trying to cover them up, according to documents recently obtained by The New York Times. The company did not post the results on its Web site or submit them to federal drug regulators, as is required in most cases by law. The heart risks from Avandia first became public in May 2007, with a study from a cardiologist at the Cleveland Clinic who used data the company was forced by a lawsuit to post on its own Web site. In the ensuing months, GlaxoSmithKline officials conceded that they had known of the drug’s potential heart attack risks since at least 2005. But the latest documents demonstrate that the company had data hinting at Avandia’s extensive heart problems almost as soon as the drug was introduced in 1999, and sought intensively to keep those risks from becoming public.

Note: For lots more on corporate corruption from major media sources, click here.

Genetic engineers, move over: the latest scheme for creating children to a parent’s specifications requires no DNA tinkering, but merely giving mom a steroid while she’s pregnant, and presto —- no chance that her daughters will be lesbians or (worse?) ‘uppity.’ Or so one might guess from the storm brewing over the prenatal use of that steroid, called dexamethasone. In February, bioethicist Alice Dreger of Northwestern University and two colleagues blew the whistle on the controversial practice of giving pregnant women dexamethasone to keep the female fetuses they are carrying from developing ambiguous genitalia. Dreger and her colleagues pluck numerous brow-raising statements from the writings of pediatric endocrinologist Maria New of Mount Sinai Medical Center in New York, who has long promoted prenatal dexamethasone. New has indeed argued that prenatal androgens can affect a woman’s sexual orientation, her interest in becoming a mother and housewife, her interest in traditionally masculine careers, and—in childhood—whether she plays with dolls or trucks. A book that Harvard University Press will publish in September, called Brain Storm: Flaws in the Science of Sex Differences, argues that studies claiming to find innate, sex-based brain differences are seriously flawed.

Scientists who drew up the key World Health Organisation guidelines advising governments to stockpile drugs in the event of a flu pandemic had previously been paid by drug companies which stood to profit. An investigation by the British Medical Journal and the Bureau of Investigative Journalism, the not-for-profit reporting unit, shows that WHO guidance issued in 2004 was authored by three scientists who had previously received payment for other work from Roche, which makes Tamiflu, and GlaxoSmithKline (GSK), manufacturer of Relenza. Pharmaceutical companies banked more than $7bn (�4.8bn) as governments stockpiled drugs. "The tentacles of drug company influence are in all levels in the decision-making process," said Paul Flynn, the Labour MP who sits on the council's health committee. Although the experts consulted made no secret of industry ties in other settings, declaring them in research papers and at universities, the WHO itself did not publicly disclose any of these in its seminal 2004 guidance.

Note: For wide coverage from reliable sourcesof the swine and avian flu "fake pandemics" designed for corporate profit, click here.

European criticism of the World Health Organization's handling of the H1N1 pandemic intensified ... with the release of two reports that accused the agency of exaggerating the threat posed by the virus and failing to disclose possible influence by the pharmaceutical industry on its recommendations for how countries should respond. The WHO's response caused widespread, unnecessary fear and prompted countries around the world to waste millions of dollars. At the same time, the Geneva-based arm of the United Nations relied on advice from experts with ties to drug makers in developing the guidelines it used to encourage countries to stockpile millions of doses of antiviral medications. The first report ... came from the Social, Health and Family Affairs Committee of the Parliamentary Assembly of the Council of Europe, which launched an investigation in response to allegations that the WHO's response to the pandemic was influenced by drug companies that make antiviral drugs and vaccines. The second report, a joint investigation by the [British Medical Journal] and the Bureau of Investigative Journalism ... criticized 2004 guidelines the WHO developed based in part on the advice of three experts who received consulting fees from the two leading manufacturers of antiviral drugs used against the virus, Roche and GlaxoSmithKline.

Note: Explore extensive, eye-opening coverage from reliable sources revealing how the swine and avian flu "pandemics" were designed for corporate profit.

AstraZeneca has completed a deal to pay $520 million to settle federal investigations into marketing practices for its blockbuster schizophrenia drug, Seroquel. AstraZeneca becomes the fourth pharmaceutical giant in the last three years to admit to federal charges of illegal marketing of antipsychotic drugs, a lucrative category of medications that have quickly risen to the top of United States sales charts. Aggressive sales and promotional practices have helped expand the use of powerful new antipsychotic drugs for children and the elderly. The company, based in London, has been accused of misleading doctors and patients by playing up favorable research and not adequately disclosing studies that show Seroquel increases the risk of diabetes. AstraZeneca still faces more than 25,000 civil lawsuits filed on behalf of patients contending that the company did not disclose the drug�s risks. As a result of aggressive marketing, Seroquel has been increasingly used for children and elderly people for indications not approved by the Food and Drug Administration. The drugs have caused rapid weight gain in children, and side effects including deaths have prompted warnings against giving the drugs to elderly patients for dementia.

Note: For more on corporate corruption, click here.

A federal jury has awarded $1.37 million in damages to a former Pfizer scientist who claimed she was sickened by a genetically engineered virus at a company laboratory and then fired for raising safety concerns. The case ... has raised questions about the safety of workers in the biotechnology industry and about regulations to protect them. The jury ruled that Pfizer had violated laws protecting free speech and whistle-blowers by retaliating against Ms. McClain. The case has attracted the attention of some worker advocates, who say it shows the risks workers in biological labs encounter and the lack of rules to protect them. Ms. McClain, for example, claimed she encountered many difficulties in her attempts to learn the genetic content of the virus she suspected had infected her because it was protected as a trade secret. [She] had complained about what she saw as safety problems, including desks next to where biological experiments were done. Jeremy Gruber, president of the Council for Responsible Genetics, an advocacy group urging discussion of the ethical implications of biotechnology, applauded the award. �I personally believe that Becky McClain is really the canary in the coal mine,� he said. Regulations �have not kept pace with the explosion of research.�

Note: Why are they creating genetically engineered viruses that can sicken people? Could there be some credence to those who claim the AIDS virus was manufactured?

Imagine being charged with a crime, but an imaginary friend takes the rap for you. That is essentially what happened when Pfizer, the world's largest pharmaceutical company, was caught illegally marketing Bextra, a painkiller that was taken off the market in 2005 because of safety concerns. It's a story about the power major pharmaceutical companies have even when they break the laws intended to protect patients. The story begins in 2001, when Bextra was about to hit the market. The drug was part of a revolutionary class of painkillers known as Cox-2 inhibitors that were supposed to be safer than generic drugs, but at 20 times the price of ibuprofen. Pfizer and its marketing partner, Pharmacia, planned to sell Bextra as a treatment for acute pain, the kind you have after surgery. But in November 2001, the U.S. Food and Drug Administration said Bextra was not safe for patients at high risk of heart attacks and strokes. The FDA approved Bextra only for arthritis and menstrual cramps. It rejected the drug in higher doses for acute, surgical pain. Promoting drugs for unapproved uses can put patients at risk by circumventing the FDA's judgment over which products are safe and effective. For that reason, "off-label" promotion is against the law. Internal company documents show that Pfizer and Pharmacia (which Pfizer later bought) used a multimillion-dollar medical education budget to pay hundreds of doctors as speakers and consultants to tout Bextra.

Note: For lots more from major media sources on corporate corruption, click here.

Despite months of dire warnings and millions in taxpayer dollars, less than half of the 229 million doses of H1N1 vaccine the government bought to fight the pandemic have been administered -- leaving an estimated 71.5 million doses that must be discarded if they are not used before they expire. Between 81 million and 91 million doses of swine flu vaccine were injected into peoples' arms or squirted up their noses through the end of February, according to federal officials, leaving about 138 million doses unused. An estimated 60 million of those will be donated to poor countries or saved for possible future use. But doses already in vials and syringes will be thrown away if not used before their expiration dates pass. The prospect of millions of doses of the once-precious vaccine being discarded is the latest twist in the $1.6 billion program -- the most ambitious immunization campaign in U.S. history. The government-led effort produced a vaccine in record time, but unexpected production problems delayed delivery of the bulk of supplies until after the second wave of infections had peaked.

Note: Yet the pharmaceutical companies get to keep the huge profits from the vaccines, paid for by the taxpayers. For key reports from major media sources on the government and pharmaceutical corporation corruption involving bird and swine flu vaccines, click here.

A former Pfizer scientist is suing the pharmaceuticals giant after alleging she contracted an artificial, HIV-like, virus created by a colleague. In her lawsuit, Becky McClain claims Pfizer unlawfully dismissed her while she suffered bouts of paralysis brought on by the man-made virus. Pfizer denies these accusations, and says McClain simply didn't come to work, and only linked her problems to engineered-disease exposure after she was fired. According to McClain, researchers in her lab genetically engineered an artificial lentivirus, a class of viruses that also includes HIV. McClain believes that she became infected by the virus due to faulty safety measures, resulting in complete body paralysis as often as 12 times every month. Most likely, we will never know if it is Pfizer's virus that caused McClain's health problems. The court case will focus mostly on safety procedures in the laboratory, not on what exactly from the lab caused the illness. Also, Pfizer refuses to release the genome of the suspected virus, preventing both identification of the disease, as well as the development of a possible cure.

Note: Isn't it interesting that Pfizer is involved in creating HIV-like viruses? How long has this been going on?

Across the United States, pharmaceutical companies have pleaded guilty to criminal charges or paid penalties in civil cases when the Justice Department finds that they deceptively marketed drugs for unapproved uses, putting millions of people at risk of chest infections, heart attacks, suicidal impulses or death. "Marketing departments of many drug companies don't respect any boundaries of professionalism or the law," says Jerry Avorn, a professor at Harvard Medical School. The widespread off-label promotion of drugs is yet another manifestation of a health-care system that has become dysfunctional. About 15 percent of all U.S. drug sales are for unapproved uses without adequate evidence the medicines work, according to a study by Randall Stafford, a medical professor at Stanford University. As large as the penalties are for drug companies caught breaking the off-label law, the fines are tiny compared with the firms' annual revenue. The $2.3 billion in fines and penalties Pfizer paid for marketing Bextra and three other drugs cited in the Sept. 2 plea agreement for off-label uses amount to just 14 percent of its $16.8 billion in revenue from selling those medicines from 2001 to 2008.

Note: For lots more on government and corporate corruption, click here and here.

Important Note: Explore our full index to revealing excerpts of key major media news stories on several dozen engaging topics. And don't miss amazing excerpts from 20 of the most revealing news articles ever published.