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Thursday 20th October 2016

NHS defrauded by drug company

9th April 2006

10042006_drugs_&_money.jpgFollowing a four-year investigation by the Serious Fraud Office two directors of a British drugs company will be charged with conspiring to defraud the National Health Service over an alleged scheme to push up the price of penicillin and warfarin. The NHS claims it lost more than £150 million on the purchase of the drugs.

Ajit Patel and Kirti Patel, chairman and chief operating officer of Croydon-based Goldshield, will be charged and a further seven individuals from other companies involved in an alleged cartel will also face charges.

The other companies which are under investigation are Ranbaxy UK, Generics UK, Regent-GM Laboratories, Kent Pharmaceuticals and Norton Healthcare.

Last year Ranbaxy UK and Generics UK reached a civil settlement with the NHS, without admitting liability. Generics UK said it and the department look forward to a strong relationship in the future.

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