GSK sends investigative team to China

By Charlotte Mullen

18 July 2013 at 11:09 BST

Pharma company GlaxoSmithKline is sending lawyers out to China as part of a team to get to the bottom of the corruption allegations made by the Chinese authorities.


Beijing-based law firm Jun He – the 15th largest independent firm in Asia Pacific – is one of the advisors that GSK has hired in China to represent it in the escalating bribery investigations. Meanwhile GSK China’s head of legal, April Zhao, is one of the four people currently being interviewed by Chinese police. It has also hired accountancy firm EY to conduct an independent review of its Chinese operations as the situation intensifies.


The accusations facing the UK pharmaceuticals giant from Chinese police has seen GSK accused by the Chinese authorities of using a network of 700 travel agencies to bribe doctors and lawyers allegedly channelling illegal payments for a number of years. 

Head of finance barred 

The head of finance for GlaxoSmithKline in China has also been banned from leaving China. Steve Nechelput, who is a British national, is reported by BBC News to be recieving assistance from the British embassy in Beijing and has not been questioned, arrested or detained by police.  Mr Nechelput has been barred from leaving the country since the end of June, but is able to travel  freely around China. The company is co-operating fully with the Chinese authorities who say other companies will also be investigated as part of their crackdown on bribery and corruption.


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