Another scandal in the Pharmaceutical Industry involving the director of the Drug Administration

Monday, 26/09/2011, 07:30 (GMT +7)

Eight Vietnamese pharmaceutical companies accused the Director of Drug Administration of wrong doings

http://tuoitre.vn/Chinh-tri-Xa-hoi/457510/8-DN-duoc-to-cao-cuc-truong-Cuc-Quan-ly-duoc.html
TT – Eight pharmaceutical production enterprises in the South have signed formal complaint and sent to the senior authorities against the Director of Drug Administration (Ministry of Health) Truong Quoc Cuong.
This never happened in the pharmaceutical industry up to date.

Complaints against the DA Director sent by eight pharmaceutical trading company – Photos: TTD

Eight companies signed on this form are Imexpharm, Agimexpharm, S. Pharm Co., Minh Hai, Tipharco, Stada -Vietnam(a joint venture company), PYMEPHARCO and Khanh Hoa Pharmacy.

The signatories of the letters sent to the competent authorities are general manager, director or deputy director of the enterprises.

The enterprises “accuse” what?

In the denunciations, the enterprises give the evidence that Cuong had signed many orders without registration number for a company against general principle and stop approving orders for other companies …

These companies further accuse that Cuong gives priority to the “backyard” companies in handing out the level of import quotas, issuing import licensing for drugs, issuing registration numbers for drug circulation, allowing the drugs production.

In addition, the letter point out Cuong’s favor allowing BV Pharma (the same company was lending Deputy Minister Cao Minh Quang 2.2 billion VND in 2007 in another high level scandal) to import several tons of precursor drug pseudoephedrine (PSE) to produce the flu drugs.

The businesses also accuse Cuong of appearing to have improperly done other things. Specifically, when the Health Ministry has directed the Drug Administration to stop immediately issuing the registration numbers, stop importing raw materials, stop producing drugs containing sabutramine which may cause many adverse reactions to protect people’s health as recommended by the World Health Organization, but Cuong instead bends the rule in allowing domestic drug production facilities continuing their production and imports materials containing sabutramine until the expiration of the drug.”

The businesses cite written evidence on 8-6-2010 signed by Cuong to help companies from India, Pakistan, South Korea, Bangladesh …continuing to sell all the lots of drugs containing sabutramine. In addition, these companies also said that Cuong granted numerous registrations to import drugs from neighboring Asian countries into Vietnam, while most of these drugs can be domestically produced with substantial high quality at very low price.

Accept their sacrifice

On Sept 22, Reporters of Tuoi Tre Newspaper met directly with the representatives of the pharmaceutical companies, who had signed the accusation letter against the Director of Drug Administration, to clarify the content they reflected in the petition.

Madam Tran Thi Dao – General Director of Imexpharm Pharmaceuticals JSC, representing the eight businesses – said that they are determined in their fight because there is no other alternative. The complaints and recommendations of the businesses do not stem from any personal conflict with Cuong. The purpose and motivation of their proposal are due to the excessive stagnation in the pharmaceutical industry in recent years.

According to the business, this stagnation stems from the negative actions done by the Director affecting the reputation and the development of the sector, causing direct damage to production and trading in the pharmaceutical industry.

“Historically unprecedented, pharmaceutical companies would never dare to speak openly their opinions and their grievances with the Government management agencies, in this case the Drug Administration. We dare to write because we decided to have to accept sacrifices, to accept all the risks that may occur later. We signed and sealed this letter with the duty as the head of the enterprises, and be responsible before the law, before thousands of staffs, workers, employees and all investors, shareholders’ – Madam Dao said.

The businesses also say they take responsibility for what is reflected in the denunciations and ready to provide additional related evidence and information to the authorities.

They just want all the hidden, unusual actions done by the Drug Administration to be brought to light, especially the issuance of the purchase permit of a precursor for PSE, the rather quick issuance of the registration number to make drugs containing these substances in 1-2 days or half months for some companies. While the normal licensing process usually takes fastest six months, regularly one year and slowest at least 2-3 years to be approved.

The Steering Anti-corruption Committee are handling the complaint

For objectivity, we have tried to contact over the phone, sending private messages to Mr. Truong Quoc Cuong and Mr. Tran Quang Trung – chief inspector of the Ministry of Health – to listen to their opinions on the as above mentioned accusation against Cuong. But Cuong did not answer the message, nor the phone calls. Mr. Trung just said that the leaders at the Ministry are looking into the matter so he can not voice any opinion at the moment.
Meanwhile, speaking to Tuoi Tre, a representative of the Central Steering Committee for Corruption Prevention said they have a plan to work with the Drug Administration, Ministry of Health inspectors and the businesses involved in the petition questioning the path of approval of a precursor for PSE.

Whether or not there is something behind the story and all the irregularities stated by the businesses the public has to wait for the conclusion from the relevant authority, but clearly in the market, for a very long time there have been signs of abuse of PSE in cold medications.

LE THANH HA – LAN ANH