GSK corruption claims trigger wider concerns

Industry insiders say bribery and kickbacks for prescribing medicine an 'open secret' in China

The investigation by Chinese police into the British pharmaceutical giant GlaxoSmithKline Plc (GSK) has triggered concerns over corruption in the pharmaceutical industry across the country.

On June 28, police in Changsha, Hunan province, said on the micro-blogging service Sina Weibo that they were investigating senior management at GSK China for suspected "economic crimes". Chinese media also reported that an unknown number of the company's employees in three cities, including Beijing, Shanghai and Changsha, had been detained. The employees include at least one foreign executive.