SHANGHAI Dec 27 China will introduce a
blacklist of drugmakers and medical device manufacturers found
to have paid bribes as it extends a crackdown on graft in the
Healthcare departments will compile lists of offending
manufacturers, agents and individuals, which will be published
online, the National Health and Family Planning Commission said
on Friday. The list will come into effect from the beginning of
Firms on the list once will be banned for two years from
selling within the region where they were implicated. Those
appearing on the list twice in five years will be banned
nationally, also for two years.
Corruption in the healthcare sector has been in the
spotlight this year with regulators investigating international
and domestic drugs firms and milk powder companies for suspected
The most high-profile investigation involved British
drugmaker GlaxoSmithKline, significantly denting the
firm's China sales and spooking doctors more widely to reduce
interaction with sales teams.
GSK has said some of its senior Chinese executives appear to
have broken the law. It has also said it has zero tolerance for
bribery, calling the allegations in China "shameful".
With the country's healthcare spending forecast to nearly
triple to $1 trillion by 2020 from $357 billion in 2011,
according to consulting firm McKinsey, China is a magnet for
makers of medicines and medical equipment.
The blacklists will include those found guilty of relatively
minor bribery but who may not have been punished by China's
courts, as well as those who have received administrative
punishments from sector and financial watchdogs.
The blacklists will display the name of the manufacturer or
agent, its business address and legal representative, as well as
details of the alleged crime, the commission said.
Under the amended rules, regional healthcare departments
will be required to report their lists to the central healthcare
commission within a month. They will also need to give those it
plans to list the right to query the ruling.
Any medical practitioners who receive bribes will also be
punished, and in severe cases have their medical licenses
Corruption in China's medical sector is fuelled in part by
low base salaries for doctors and nurses at the country's 13,500