Duo guilty of $1m bribery and fraud over supply of pharmaceutical drugs
2019-12-23
A former senior medical representative of a pharmaceutical manufacturer and a pharmacy operator, charged by the ICAC, were today (December 23) convicted at the District Court of bribery and fraud involving about $1 million in relation to the supply of pharmaceutical drugs.
Gavin Wong Chun-yin (previously known as Gavin Wong Hung-man), 44, former senior medical representative of Novartis Pharmaceuticals (HK) Limited (Novartis HK), and Wong Chung-sum, 55, operator of Hygiene Medicine Limited (Hygiene Medicine), were found guilty of a joint charge of conspiracy for an agent to accept advantages, contrary to Section 9(1)(a) of the Prevention of Bribery Ordinance (POBO) and Section 159A of the Crimes Ordinance.
Gavin Wong was also found guilty of one count of conspiracy to defraud, contrary to Common Law.
Judge Josiah Lam Wai-kuen adjourned the case to January 17 next year for further mitigation and sentence. The defendants were granted bail.
The court heard that at the material time, Gavin Wong was a senior medical representative of Novartis HK, a pharmaceutical manufacturer. He was responsible for promoting prescription drugs of Novartis HK to clinics and hospitals. Wong Chung-sum was an operator of Hygiene Medicine, a pharmacy and a client of Novartis HK.
Novartis HK maintained two price lists for each drug – one for medical institutes and registered doctors, and another one for pharmacies. Prices set in the two lists for the same drug might be different. In addition, bonus terms with extra boxes of free drugs offered to registered doctors were more favourable than those offered to pharmacies.
The court heard that between November 2012 and April 2015, Gavin Wong conspired with a nurse of a clinic to falsely represent to Novartis HK and its distributor that various drugs were ordered by the clinic and caused Novartis HK and its distributor to supply those drugs to the clinic at lower prices which Novartis HK offered to registered doctors.
On a number of occasions between February and April 2015, Gavin Wong was seen collecting drugs from the clinics of a number of registered doctors, including the abovementioned clinic, and delivering them to Hygiene Medicine.
The court also heard that between January 2014 and April 2015, a total of about $950,000 was deposited into the bank accounts of Gavin Wong for the supply of various drugs of Novartis HK to Hygiene Medicine.
Novartis HK had rendered full assistance to the ICAC during its investigation.
The prosecution was today represented by prosecuting counsel Liza Yip, and assisted by ICAC officer Alex Lau.
Gavin Wong Chun-yin (previously known as Gavin Wong Hung-man), 44, former senior medical representative of Novartis Pharmaceuticals (HK) Limited (Novartis HK), and Wong Chung-sum, 55, operator of Hygiene Medicine Limited (Hygiene Medicine), were found guilty of a joint charge of conspiracy for an agent to accept advantages, contrary to Section 9(1)(a) of the Prevention of Bribery Ordinance (POBO) and Section 159A of the Crimes Ordinance.
Gavin Wong was also found guilty of one count of conspiracy to defraud, contrary to Common Law.
Judge Josiah Lam Wai-kuen adjourned the case to January 17 next year for further mitigation and sentence. The defendants were granted bail.
The court heard that at the material time, Gavin Wong was a senior medical representative of Novartis HK, a pharmaceutical manufacturer. He was responsible for promoting prescription drugs of Novartis HK to clinics and hospitals. Wong Chung-sum was an operator of Hygiene Medicine, a pharmacy and a client of Novartis HK.
Novartis HK maintained two price lists for each drug – one for medical institutes and registered doctors, and another one for pharmacies. Prices set in the two lists for the same drug might be different. In addition, bonus terms with extra boxes of free drugs offered to registered doctors were more favourable than those offered to pharmacies.
The court heard that between November 2012 and April 2015, Gavin Wong conspired with a nurse of a clinic to falsely represent to Novartis HK and its distributor that various drugs were ordered by the clinic and caused Novartis HK and its distributor to supply those drugs to the clinic at lower prices which Novartis HK offered to registered doctors.
On a number of occasions between February and April 2015, Gavin Wong was seen collecting drugs from the clinics of a number of registered doctors, including the abovementioned clinic, and delivering them to Hygiene Medicine.
The court also heard that between January 2014 and April 2015, a total of about $950,000 was deposited into the bank accounts of Gavin Wong for the supply of various drugs of Novartis HK to Hygiene Medicine.
Novartis HK had rendered full assistance to the ICAC during its investigation.
The prosecution was today represented by prosecuting counsel Liza Yip, and assisted by ICAC officer Alex Lau.