The Ha Tay Pharmaceutical Joint-stock Company (Hataphar) has been reportedly fined 50 million VND (2,500 USD) for letting another company produce poor quality medicine under its brand name.
Hataphar, which is based on Ha Dong district's Quang Trung street , was also asked to withdraw the medicine from the market and destroy the entire stock of more than 1 million tablets under inspectors' supervision.
It was the first time medical inspectors had busted a company for unauthorised drug production in the city, chief health care inspector Nguyen Viet Cuong was quoted by Hanoi Moi newspaper as saying.
Cuong reportedly said he had received complaints from Hataphar's small stock-holders about the company's relationship with Hatapharm, a drug-maker based in Phu Lam Industrial Park in Ha Dong district.
Hataphar was licensed to produce and circulate 250 drug varieties by the Ministry of Health's Pharmaceutical Administration Department, while Hatapharm was allowed to produce only medicinal food and had yet to gain Goods Manufacturing Practice recognition.
However, Hataphar had in the past two years commissioned Hatapharm to produce various capsule drugs in breach of a regulation that banned the use of a medicinal food production line for the production of medicine and vice versa, the chief inspector was further quoted as saying.
In addition, the fact that they had similar brand names and their factories were close to each other had misled consumers into thinking they were the same company.
The ensuing investigation found that Hataphar was a big stock holder of Hatapharm with an investment worth 2 billion VND (100,000 USD).
In fact, many directors served on the boards of both companies and Hataphar's deputy director was also managing director of Hatapharm.
They had made a deal that Hatapharm was in charge of production, while Hataphar provided materials, production formulas, among others.
The inspectors tested samples of 25 drug varieties produced by Hatapharm under Hataphar's brand. Eight of them, including some synthesised vitamins, were found to be short of some ingredients as registered with the Ministry of Health.
So far, Hatapharm had produced 15 million tablets, said the chief inspector. Vietnam News tried but failed to reach the companies for comments.
The Dong Nai Pharmacy Joint-Stock Company (Donapharm) will be fined 10 million VND (512 USD) and may be shut down for six to 12 months for selling expired drugs, province authorities have said.
Tu Thanh Chuong, the province's health department director, said it would carefully consider a decision on suspending operations because the company's 155 employees could be adversely affected.
In September 2009 and February of this year, Donapharm changed the packaging of two drugs used to treat respiratory symptoms, Bisinthvon 8mg and Salbutamol 2mg, and offered them for sale, according to the department.
A total of 150,647 tablets of the two types had been bought by consumers before agencies discovered the fraud in May.
When notified of the investigation, Donapharm took 17,273 expired tablets off its shelves./.
Hataphar, which is based on Ha Dong district's Quang Trung street , was also asked to withdraw the medicine from the market and destroy the entire stock of more than 1 million tablets under inspectors' supervision.
It was the first time medical inspectors had busted a company for unauthorised drug production in the city, chief health care inspector Nguyen Viet Cuong was quoted by Hanoi Moi newspaper as saying.
Cuong reportedly said he had received complaints from Hataphar's small stock-holders about the company's relationship with Hatapharm, a drug-maker based in Phu Lam Industrial Park in Ha Dong district.
Hataphar was licensed to produce and circulate 250 drug varieties by the Ministry of Health's Pharmaceutical Administration Department, while Hatapharm was allowed to produce only medicinal food and had yet to gain Goods Manufacturing Practice recognition.
However, Hataphar had in the past two years commissioned Hatapharm to produce various capsule drugs in breach of a regulation that banned the use of a medicinal food production line for the production of medicine and vice versa, the chief inspector was further quoted as saying.
In addition, the fact that they had similar brand names and their factories were close to each other had misled consumers into thinking they were the same company.
The ensuing investigation found that Hataphar was a big stock holder of Hatapharm with an investment worth 2 billion VND (100,000 USD).
In fact, many directors served on the boards of both companies and Hataphar's deputy director was also managing director of Hatapharm.
They had made a deal that Hatapharm was in charge of production, while Hataphar provided materials, production formulas, among others.
The inspectors tested samples of 25 drug varieties produced by Hatapharm under Hataphar's brand. Eight of them, including some synthesised vitamins, were found to be short of some ingredients as registered with the Ministry of Health.
So far, Hatapharm had produced 15 million tablets, said the chief inspector. Vietnam News tried but failed to reach the companies for comments.
The Dong Nai Pharmacy Joint-Stock Company (Donapharm) will be fined 10 million VND (512 USD) and may be shut down for six to 12 months for selling expired drugs, province authorities have said.
Tu Thanh Chuong, the province's health department director, said it would carefully consider a decision on suspending operations because the company's 155 employees could be adversely affected.
In September 2009 and February of this year, Donapharm changed the packaging of two drugs used to treat respiratory symptoms, Bisinthvon 8mg and Salbutamol 2mg, and offered them for sale, according to the department.
A total of 150,647 tablets of the two types had been bought by consumers before agencies discovered the fraud in May.
When notified of the investigation, Donapharm took 17,273 expired tablets off its shelves./.
