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Monday, July 13, 2009

‘Drug firm offered govt P100M of discounts’ But DoH rejects ‘bribe’

By Maila Ager
INQUIRER.net

MANILA, Philippines—(UPDATE 4) A big pharmaceutical company has allegedly offered the government five million discount cards with an estimated worth of P100 million – a move which Senate President Juan Ponce-Enrile described as a “bribe” meant to prevent the enforcement of the cheaper medicines law.

Reiner Gloor, executive director of Pharmaceutical and Healthcare Association of the Philippines, said Pfizer Philippines reportedly made the offer to the Department of Health before the list of the maximum retail price (MRP) for essential medicines was released last month.

But the offer, Gloor said, was rejected by Health Secretary Francisco Duque.

Enrile said the offer was “tantamount to a bribe in order to obviate” the enforcement of the law.

“I’m not implying any wrongdoing or any malice or any suspicion. I’m just giving the industry a chance to explain to the people of this country who probably have the same impression that this company, Pfizer, can afford to offer five million cards the value of which can be P100 million or even more…How can they not afford to lower the prices of medicines?” he asked.

Gloor said the offer was made before the MRP list was made public.

But Enrile argued that the offer was “an indication that the purpose of the offer was to thwart, stop, and impede the enforcement of the law.”

The Senate President said the offer might also be considered a bribe regardless if it was made directly to Malacanang or the DoH.

“Still, it’s the same carabao – bribe – to prevent the enforcement of this cheaper medicines law,” he stressed.

President Gloria Macapagal-Arroyo, Executive Secretary Eduardo Ermita, Health Secretary Francisco Duque III, Trade Secretary Peter Favila and Budget Secretary Rolando Andaya Jr. were a no-show at Monday’s congressional inquiry on her alleged secret meeting with multinational pharmaceutical firms last week.

It was supposedly agreed in that meeting to delay the imposition of the MRP on essential medicines in the country which effectively halves the prices of these medicines.

In a letter to the congressional oversight committee on quality affordable medicines, Ermita said there was “no sufficient” time to adequately prepare for the hearing since they only received the invitation last Friday, July 10.

Ermita and Senior Deputy Executive Secretary Joaquin Lagonera were also invited to the hearing.

But Senator Manuel Roxas, who co-chairs the committee with Palawan Representative Antonio Alvarez, belied Ermita’s claim, saying that the invitation was received by the Office of the President on July 9.

“Ganunpaman, wala silang oras wala tayong magagawa. Ang punto po rito ay pinupukpok natin ang tamang implementasyon [In any case, they have no time, we can’t do anything about it. The point is we’re pushing them to properly implement the cheaper medicines law],” Roxas said.

Aside from Gloor, also present was Augusto Villanueva, general manager of Roche Philippines.

On Roxas’s questioning, both Gloor and Villanueva confirmed the meeting with the President in Malacanang last week.

Gloor said also present in the meeting were Health Secretary Francisco Duque, Trade Secretary Peter Favila, and representatives of other pharmaceutical firms.

“The President said if you can’t come up something commendable and good, then I will have to sign the MRP,” he said, recalling Arroyo’s statement during the meeting.

Villanueva said the meeting was organized by Pfizer.

But before that meeting with the President, Villanueva confirmed that a similar meeting with Ermita was held in Malacanang last July 2.

That meeting, he said, was also organized by Pfizer.

Roxas said he learned that Arroyo agreed not to impose the MRP if the drug firms would bring their prices down. However, he said, the law on affordable medicines provided for the MRP and could not just be set aside.

Medicine

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