A behind-the-scenes clash in Canada over generic competition has ensnared two Costco pharmacy directors, who were accused of professional misconduct in connection with an alleged scheme in which drug makers reportedly paid to have their medicines stocked by the retailer.
In notices posted on its website late last week, the Ontario College of Pharmacists alleged the employees “contravened a provincial law” by accepting a “rebate” and causing Costco to accept “rebates” between April 2013 and December 2015. The medicines and amount of money involved were not specified, although Ranbaxy Pharmaceuticals reportedly paid $1.3 million.
The employees — Joseph Hanna and Lawrence Varga — “engaged in conduct or performed an act relevant to the practice of pharmacy that … would reasonably be regarded by members of the profession as disgraceful, dishonorable or unprofessional,” the notices stated. The notices cited Ontario laws stating it is illegal for drug makers to pay rebates (see page 5 and page 10).
This article is exclusive to STAT+ subscribers
Unlock this article — plus in-depth analysis, newsletters, premium events, and networking platform access.
Already have an account? Log in
Already have an account? Log in
About the Author Reprints
To submit a correction request, please visit our Contact Us page.
STAT encourages you to share your voice. We welcome your commentary, criticism, and expertise on our subscriber-only platform, STAT+ Connect