Report finds China targeted AstraZeneca in fraud probe over cancer treatment

The pharmaceutical giant, whose China chief is now under investigation, was previously at the centre of insurance scam cases, report says

Reading Time:2 minutes

According to new media reports, AstraZeneca sales representatives in the southern Chinese city of Shenzhen were at the centre of an investigation first announced in early 2022. Photo: AFP

Published: 5:24pm, 4 Nov 2024Updated: 7:10pm, 4 Nov 2024

Pharmaceutical giant AstraZeneca, whose China president is under investigation, was previously investigated for medical insurance fraud cases involving cancer medication sales, according to new Chinese media reports.

The news comes after the British-Swedish company announced on its official website last week that its China chief Leon Wang was cooperating “with an ongoing investigation”, and its operations in the country would continue under the leadership of AstraZeneca China’s general manager.

Media outlet Caixin reported on Monday that an official investigation, first made public in early 2022, targeted sales representatives for AstraZeneca’s lung cancer medication Tagrisso in the southern city of Shenzhen.

The National Healthcare Security Administration (NHSA), which oversees China’s general health insurance plan and medical aid programmes, announced on January 29, 2022 that some AstraZeneca employees were suspected of scamming medical insurance companies by changing the genetic test results of cancer patients, allowing them to buy medication using insurance.

In that statement, the NHSA said it had organised a task force to investigate and had arrested all suspects. However, the agency did not reveal the identity of the suspects or the medication involved.

Caixin reported that Zuo Yinquan, who was in charge of sales of cancer drugs – including Tagrisso – in the provinces of Guangdong, Hunan, Yunnan and Hainan as well as Guangxi Zhuang autonomous region, was arrested by Shenzhen police on January 8, 2022.

That was the beginning of a slew of insurance fraud cases involving the company, according to the report. In June 2022, several of the company’s employees in Fujian were taken by the police, and in September of that year, AstraZeneca’s Fujian general manager Kang Yuling was arrested.