Food and Drug Administration (FDA) Risk Management section inspector Chen Wen-hsiung (陳文雄) and 17 other people including pharmaceutical company owners, questioned on Wednesday by the New Taipei City District Prosecutors’ Office as part of a corruption probe, were released on bail yesterday morning.
Chen, 50, was accused of violating provisions of the Anti-Corruption Act (貪污治罪條例). Prosecutors charged Chen with bribery, leaking confidential information, forgery and other charges before his release after posting NT$500,000 (US$15,745) bail yesterday.
The other people involved in the probe, including Chen’s wife, were also released, with bail set at NT$200,000 each.
Photo: Chen Wei-tzu, Taipei Times
The companies ensnared in the probe reportedly include Genuine Chemical Pharmaceutical Co (人人化學製藥), CBC Biotechnological & Pharmaceutical Co (中生生技), Wei Li Pharmaceutical Co (中生威力化學), Paitun Biochemical Pharmacy Co (派頓化學製藥), Dersan Pharmaceutical Co (德山藥廠) and Kuang Nan Pharmaceutical Co (光南製藥).
Chen allegedly made at least NT$5 million in the past two years by providing the time and date of “unannounced” FDA inspections to proprietors in exchange for money.
He also allegedly helped products pass inspections and ensured they would receive their Good Manufacturing Practice and other certifications.
For his “services” and inside information Chen allegedly asked each company for about NT$1 million.
Prosecutors said they collaborated with the Ministry of Justice’s Agency Against Corruption to place Chen under surveillance for more than a year after receiving a tip-off.
The investigation reportedly found that when Chen planned inspections of pharmaceutical companies he would allegedly give instructions to the owners on how to deposit the alleged bribes. He would hold meeting’s in coffee shops or receive gifts containing money.
Chen’s wife would allegedly then deposit the money in various bank accounts.
National Health Insurance Civic Surveillance Alliance (民間監督健保聯盟) spokeswoman Eva Teng (滕西華) said that the bribery scheme is likely large scale.
“It would seem incredulous for just one FDA inspector to able to shield the companies from proper checks and monitoring. The scandal clearly shows poor management and negligence by the FDA.”
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