Pharmacoeconomics and Pharmaceutical Economics Commons^™

Monetary Incentives For Producing Counterfeit, Adulterated, And Misbranded Medicine: Case Studies And Examples, Heather R. Campbell, Robert A. Lodder

Pharmaceutical Sciences Faculty Publications

Background: Pharmaceutical fraud can be very profitable. Those working in pharmaceuticals are in a tempting position as the nature of the product and supply is complex, making detection of fraud difficult and expensive. However, a reliable pharmaceutical supply can often be a life-or-death situation for patients. Thus, when detection of fraud occurs, a Regulator's Dilemma often emerges (recall a drug for which a supplier is the sole source, or allow a substandard product to be sold)—generally resulting in pharmaceutical companies receiving minimal penalties even for the worst acts. Despite pharmaceutical companies' unique leverage over regulators and profitability, studies are rare …