BEIJING, July 18 Authorities in Shanghai have
suspended the business of a travel agency in connection with
allegations of bribery against British drugmaker GlaxoSmithKline
, the official Xinhua news agency said on Thursday.
Chinese police have started investigating suspected
involvement by the Shanghai Linjiang International Travel Agency
in illegal activities such as falsifying bills, it said without
The travel agency has been ordered to suspend its business
and carry out an internal overhaul, it said.
Reuters was not immediately able to reach the travel agency
Chinese police on Monday accused GSK of bribing officials
and doctors to boost sales and raise the price of its medicines
in China. They said GSK transferred up to 3 billion yuan ($489
million) to 700 travel agencies and consultancies over six years
to facilitate the bribes.
Britain's biggest drugmaker has said it was deeply concerned
by the developments, which it called "shameful".
Police have detained four senior Chinese executives from
GSK, including vice president and operations manager Liang Hong,
who told state television this week he had funnelled money
through travel agencies by arranging conferences, some of which
were never held. That money was then used to pay bribes.