18 January 2019

Graft busters zero in on Sinopharm, SCMP says

A senior executive of state-backed Sinopharm Group Co. Ltd. (01099.HK), the country’s largest drug distributor, is the latest official to be investigated for alleged corruption in a widening scandal in the pharmaceutical sector, the South China Morning Post reported Monday. Sinopharm said in a stock exchange statement Sunday that former vice-president Shi Jinming was detained on Friday in relation to the investigation. Xu Yizhong, a former general manager of Sinopharm Holding Distribution, a subsidiary of the group, was also involved in the same investigation, the statement said. The company said it has formed a committee, led by its chairman and president, to review the group’s internal controls. In July 2013, authorities launched an investigation into claims that international drug makers including GlaxoSmithKline Plc. bribed doctors and government officials to bolster sales, the report said.

– Contact HKEJ [email protected]



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