Morning Briefing
Summaries of health policy coverage from major news organizations
Intrigue At Glaxo: Private Investigators Accuse Drugmaker Of Setup In Alleged Bribery Scheme
Stat: Private Eyes Accuse Glaxo Of Taking Actions That Led To Their Imprisonment
Two former corporate private eyes have accused GlaxoSmithKline of hiring them under false pretenses to investigate a whistleblower in China and that the move led to their imprisonment, according to a lawsuit filed in federal court. In their complaint, Peter Humphrey and Yu Yingzeng alleged the drug maker lied about its reasons for hiring the couple in 2013. At that time, Glaxo executives in China asked them to investigate a former employee, Vivian Shi, who was suspected of becoming a whistleblower and disclosing a widespread bribery scheme. Someone already sent details to the Chinese government and Glaxo management in the UK. (Silverman, 11/16)
Stat: Former FDA Official Settles Insider Trading Charges
A former US Food and Drug Administration official who was accused of insider trading has agreed to a settlement with federal authorities and will have fork over the profits he made. Gordon Johnston, 64, must also pay a civil penalty, although the amounts have not yet been determined. The deal, which was disclosed in a judgment filed in federal court on Monday, comes five months after Johnston pleaded guilty to securities fraud and three other crimes as part of a scheme to provide information to a high-profile hedge fund about upcoming agency approvals of generic drugs. (Silverman, 11/16)
Boston Globe: Two Venture Firms Launch Cambridge Biotech With $48.5 Million In Funding
A pair of local venture capital firms said Wednesday that they are leading a $48.5 million funding round to launch Magenta Therapeutics, a Cambridge biotech aiming to develop drugs that can be used in stem cell transplants to treat blood and immunological disorders. Third Rock Ventures of Boston and Atlas Venture of Cambridge are licensing technology developed in labs at Harvard-affiliated Massachusetts General and Boston Children’s hospitals to help power Magenta’s effort to create safer and more effective stem cell procedures. (Weisman, 11/16)
Boston Globe: UMass Bets Big On A `Cambridge West’ Biotech Hub
UMass Amherst last month opened its Institute for Applied Life Sciences in a new 275,000-square-foot building perched on a hill. Funded by a $95 million grant from the Massachusetts Life Sciences Center and $55 million in university investments, the institute is filled with research labs and student training programs focused on drug delivery technology, therapeutic targeting, and personalized health monitoring. (Weisman, 11/17)
