Mint Primer: Why are docs in the dock over a ‘work trip’?
Summary
- This week, the department of pharmaceuticals (DoP) said the Indian arm of US firm AbbVie violated the newly amended Uniform Code for Pharmaceutical Marketing Practices. What did AbbVie do, and what does this action mean for the Indian pharma industry? Mint explains.
What is the case against AbbVie India?
In May 2024, the DoP received an anonymous complaint alleging AbbVie Healthcare India flew 30 doctors—experts in Botox and Juvederm—to Paris and Monaco. It said the firm treated the doctors to “extravagant pleasure trips under the guise of conferences", that AbbVie purportedly flew doctors to a medical conference held in these locations. The complainant also submitted a company sales and expense tracker, and the hotel vouchers and travel tickets of each doctor to back up their allegations. In total, AbbVie reportedly spent more than ₹1.91 crore on this trip, including flights and hotel reservations.
What provisions of the law did this violate?
DoP’s order says AbbVie violated the Uniform Code for Pharmaceutical Marketing Practices (UCPMP), which governs financial relationships between pharma companies and healthcare providers. It prohibits pharma firms from paying for healthcare providers’ (HCPs’) travel, stay or other hospitality for conferences in India or abroad, or give them expensive gifts. An exception is if the HCP is a speaker at a conference. This law was amended in March 2024 to make compliance mandatory; earlier, it was voluntary. All HCPs must sign a self-declaration every financial year.
Also read: Cigna to remove AbbVie’s Humira from some drug reimbursement lists next year
Is taking doctors on trips a common practice?
Yes. Pharmaceutical companies and industry associations frequently host seminars and conferences to help HCPs stay up-to-date with new medical products and tech. Pharma laws allow HCPs to attend such sponsored trips as part of Continuing Medical Education (CME), but with restrictions to prevent pharma firms from using money to influence them.
What does AbbVie say in its defence?
AbbVie made two arguments: the trips were held in February and March 2024, before the amended UCPMP came into effect, and the hotel and flights compensated the doctors for professional services. DoP was unconvinced and ordered the company to spend as much as they did on this trip to treat poor patients in government hospitals. An AbbVie spokesperson told Mint it was “disappointed in the Department of Pharmaceuticals’ decision to find Allergan Aesthetics [an AbbVie company] in violation" of the UCPMP.
How do others govern pharma-doc ties?
The US, France, Netherlands and Australia have a version of ‘Sunshine Acts’ that make it mandatory for pharma firms to disclose all financial transactions they have with HCPs, teaching hospitals and other medical facilities. This is made public, so patients can see which firms have spent how much on gifts, trips, and sponsorships for a doctor or physician. The UK held consultations to introduce a similar law. India bars pharmas from giving gifts to HCPs, or hosting seminars abroad but India does not have a ‘Sunshine Act’.
Also read: AbbVie Eyes Selling at Least $13 Billion of Bonds to Fund M&A