Chinese Drug Supply "Corruption" Slammed

14 July 1996

China's State Council has called for urgent action to be taken against the illegal practice of giving and receiving commissions from the sale of pharmaceuticals. It says this is necessary to restore confidence in the drug marketing system, reports the Beijing Review.

This marketing malpractice, which takes the form of cash, goods, cars and even apartments, is becoming increasingly serious, causing major losses in tax revenue, unfair competition and market distortion, and leading to criminal activities, said one councillor. She added that because some drug companies are giving high commissions on drug sales, prices have shot up.

The State Council has entrusted five authorities to take charge of the campaign against corruption, which will last till the end of the year. It will target manufacturers, dealers and medical institutions.

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