Eisai’s Shanghai Unit Faces RMB 900,000 Penalty for Violating Drug Administration Law

Eisai Co., Ltd’s (TYO: 4523) Shanghai unit has been hit with an administrative penalty of RMB 900,000 (USD 124,000) by the Shanghai municipal market regulation administration bureau for violating Article 88 of the Drug Administration Law, as reported by “thepaper,” a local media outlet.

Details of the Violation and Penalties Paid
The administrative penalty document reveals that between November 2019 and October 2022, the parties in question made 14 payments totaling RMB 24,000 to the attending physician of the interventional department at the First Affiliated Hospital of Zhengzhou University. These payments were made in the name of “labor fees” and “lecture fees” for the use of Eisai’s Pariet (rabeprazole), Cidine (cinitapride), and Selbex (teprenone), with each transaction ranging from RMB 1,000 to RMB 2,000.

Implications of the Penalty
This penalty underscores the regulatory scrutiny on pharmaceutical companies to ensure compliance with the Drug Administration Law, which is designed to maintain ethical standards and integrity in the pharmaceutical industry. The violation by Eisai’s Shanghai unit highlights the need for companies to adhere to legal and ethical guidelines in their interactions with medical professionals.-Fineline Info & Tech

Insight, China's Pharmaceutical Industry