Glaxo Smith Kline bribery case how to get to the bottom audit finds clues in

　　Glaxo Smith Kline bribery case how to get to the bottom

　　Drug price issue is related to the vital interests of the livelihood problems of the people, but it is difficult to understand for many Chinese people, why drug prices are so high, why do some of the leading pharmaceutical companies and drug prices in China other countries many times higher. During a tax audit, the Auditors professional perspective key points, and spirit up to the end, leaving no stone unturned, punch, was able to uncover a little known secrets of the pharmaceutical industry.

　　In July 2013, the Ministry of public security to the public for the first time the United Kingdom famous pharmaceutical company Glaxo SmithKline (China) Investment Co Ltd (hereinafter "GE Roche"), some executives were arrested for serious economic crime, Changsha, Shanghai and Zhengzhou, Henan public security organs in accordance with the news of the investigation, public opinion caused great repercussions. In this case by the Ministry of public security as a 2013 ten cases of economic crimes in the first. Of course, the case involves far more than just a drug companies, and medical units, and even government officials. While GE's company was fined for bribery payments 3 billion yuan, was called by the media "Chinese biggest fines in history."

　　From GE's company "bribing" exposure, people finally see the breeding industry corruption in Chinese soil and the unspoken rules between medical and pharmaceutical industry: virtual-high drug costs included in the price of many bribes.

　　This sensational bribery illegal clues to problems around the world, the Shanghai mission office is the Audit Commission in 2011 after a routine audit found and confirmed, and shall be transferred to the public security departments for further investigation.

　　Little-known "River Brigade"

　　In early 2011, the Shanghai mission Office of the Audit Director General Wang (Twitter) (not his real name) led to the IRS audit in a city. During the audit, Wang and Auditors xiaoxiao, Xiaolu, a careful analysis of the company's annual tax return information, high operating expenses such as medicines, cosmetics and other industries as the focus of the audit found a foreign drug companies operating cost of about 600 million Yuan for two years, income 30%.

　　"The auditing profession sensitive to such high operating expenses, most likely hidden behind a ' secret '. Is a virtual column cost of tax evasion, or expensed out get cash? You must take a look at. "They are coordinated by the tax authorities, a number of drug companies on-site visit, and asked them to provide 2009 and 2010 two-year operating expense details.

　　Analysis of pharmaceutical company financial information, pharmaceutical company marketing a large part was paid to travel agents. In these agencies, there are State-owned and private. A company called "Lin Jiang international travel agency" (hereinafter referred to as river travel) is very active in the private company as a supplier in the pharmaceutical companies, and many drug companies are doing business. Survey found that some drug companies and certain State-owned enterprises for the first year, transferred to Riverside the next year travel. This once again attracted the attention of Auditors.

　　The professionalism of Auditors is, not to be missed even one tiny question, because some obscure problem may be hidden behind a huge "black hole". Strong sense of pharmaceutical companies drove the Auditors of "ecological environment" as the object of further study, and the little-known "River Brigade" is extending the investigation essential.

　　According to the information collected at that time, River travel for non-locally incorporated companies, is a registered tourism one of the top ten travel agencies, day-to-day business is the Organization in Shanghai, foreign business people in China and around the world to carry out meetings, Conference, exhibition and training.

　　Accompanied by a tax specialist, auditor to the Riverside travel. This is a small private enterprises, the company employs more than 20 people. However, found in the Riverside travel financial accounts, annual income of 150 million Yuan, traffic is quite impressive indeed could be called one of the top ten travel agencies on the ground. Puzzling is that these revenues are largely from the pharmaceutical companies, not individual tourist income.

　　Auditors through the analysis of river travel accounts master the travel cost method, to find the order does not match the cost of some business, which accounted for in the costs of spending 500,000 yuan several times into the auditor's perspective. The investigation, with more than 2 million eventually was paid to a real estate company in Tianjin. The real estate companies do not have direct business dealings with river travel. Asked financial officers on the issue of the money, hedged financial personnel.

　　Riverside travel exposes all sorts of doubts, the Auditors to quickly make a decision: to Tianjin extends investigation of the facts.

　　Perseverance to track a number of pharmaceutical companies and travel agencies

　　The real estate company in Tianjin, the Auditors investigated the Riverside travel buying situation. In collaboration with the public security organs, the Auditors made a crucial evidence, is buying is a business manager for GE's company, River travel to pay a mortgage. This clue found, laid the groundwork for future GE's corporate bribery incident verification, and Auditors are more firmly on the drug industry to "dip" determination.

　　To answer more and more questions, several adjustments the audit programme. They filter key enterprises from the pharmaceutical companies and travel agencies, split a few extended survey will audit the antennae is continually expanding.

　　From January 2009 to November 2010, dozens of pharmaceutical companies, such as GE's company spent 520 million Yuan on behalf of the Conference, which paid to Riverside travel up to 300 million Yuan. Why is there no organized tourist? Riverside MNB's legal representative Weng's theory is that they were designed specifically for pharmaceutical services, is responsible for its meetings, and so on. Due to the flexible mechanisms, is well-known in the pharmaceutical companies industry.

　　In the extended survey, in-depth travel agencies access to information on the one hand on the other, they also surveyed 5 well-known pharmaceutical firm, and toured in different places in the investigation. The auditor has faced a mountain of information, a multitude of documents was to start, such as travel agent travel itinerary data, these data are guide individuals in custody, incomplete data, material defects, seriously. After obtaining the list of pharmaceutical companies to further extend pharmaceutical enterprises can get a lot of travel, travel agencies and pharmaceutical companies into spider webs in close touch. Because each service of travel agency for a number of pharmaceutical firms, each pharmaceutical company will select different travel agencies to arrange meetings, therefore like a snowball rolling, a lot of work.

　　But with persistent belief, superb operational capabilities and strong sense of responsibility, has finally completed the difficult task of investigation. Ten habits of mobile payment easy to release of

　　"Meeting" is consumed by the who, and who is going to pay

　　Auditors in river travel, for example revealing to reporters how the so-called business services "platform", as well as GE's company with many medical units, medical personnel are made complicit in "sale", and push up the price of drugs.

　　Travel agency after the pharmaceutical company funding received by stages and in groups called throughout the hospital, centers for disease control and prevention, the Medical Association's medical personnel meeting and tour, where most of China's capital city, tourist attractions and places of interest all over the world tourist cities, expensive. For example, GE's industry company in April 2009 invited 12 people in France Cannes meeting, at a cost of 850,800; in October of the same year industry 13 people have been invited to visit Canada Montreal meeting, cost 904,700 July 2010 invites industry nearly 500 people meeting in Chengdu, at a cost of 3.3295 million Yuan. Some tour operators have become illegal pharmaceutical enterprises to medical institutions and transportation interests of professional medical personnel "trader". Only in 2009 and 2010, the Riverside travel GE company, has received more than 25 million Yuan "meeting".

　　Auditors concluded that GE's company probably by a travel agency to cash bribes, sponsoring pharmaceutical industry associations and agencies, such as implementation of extension service "with gold sales" to the small number of functionaries, some of the pharmaceutical industry association and the hospital leadership and bribing doctors.

　　In accordance with the provisions of the drug administration law of prohibited pharmaceutical producing enterprises, trading companies or their agents to any medical institution granting the use of its drugs in the name of head, drug procurement, physicians and other relevant personnel to property or other interests. Prohibition of the head of the medical institution, drug purchasers, on behalf of the physicians and other relevant staff to any accepting drug manufacturers, distributors or their agents for the property or other interests.

　　Meetings of the high fees the audit trail has played a vital role in the future. By police sector investigation found, GE's company more name Middle cadres also suspected positions occupation, like, travel agency claimed organization has 150 people of Conference, GE's company will 150 people of costs playing to has travel agency, but actually, Conference only 100 people participate in, more out of 50 people of funding will left in travel agency of account Shang, for to GE's company Middle cadres rebate, and bribe or organization key characters tourism. For example, GE's company, River travel for the purchase of a real estate company in Tianjin.

　　Xinhua learned from the relevant sources, trading power for money in pharmaceutical industry, commercial bribery, is currently the virtual-high drug prices, and an important reason for excessive drug use, add to the patient's health care cost burden. "Session" pushing up medicine, such as promotion, and pharmaceutical promotion by pharmaceutical companies usually listed under operating expenses.

　　Transfer of investigation get to the bottom

　　"The people's livelihood and social hot spots and difficult problems are of concern to the Audit Department, especially those leading to high cost, difficult problems of ordinary people, as auditors, we have the responsibility and obligation to overcome resistance to check investigation. "Wang Hai said. Auditing industry appears to be a balanced work, it is actually a overcome the difficult jobs, need both Auditors a solid business Foundation and requires perseverance and tenacity and tough to break through.

　　Before and after April 2011, according to the law, auditing Department turned over the clues to the public security organs, and recommended that the relevant departments of the suspected irregularities tunneling to special treatment and commercial bribery. Case subsequently went into law in the fast lane. Police, including GE's company, 4 executives, more than 20 staff of the pharmaceutical companies and travel agencies were filed for investigation by the police.

　　In July 2013, the Ministry of public security published news, Wang led the Auditors to the next audit. These carrier audit personnel, that they feel proud when the criminals are brought to justice, the State and the interests of the people is to save it.

(China Youth daily)