Cross-border collaboration can spur China's fight against corporate graft
Wang Zhile says China's fight against corruption involving multinational corporations can go even further when it joins hands with other nations and agencies that are committed to the cause
The Chinese authorities' investigation of GlaxoSmithKline for suspected corruption on the mainland has caused concern for a number of reasons.
Multinational corporations are well known for their advanced products, high-quality services and operational compliance. The scale of the corruption that GSK now stands accused of is a serious violation of the code of conduct for multinationals.
Secondly, many ordinary Chinese who struggle with high medical costs have long been angry that some pharmaceutical companies appear to be colluding with medical institutions to raise drug prices. This means people are highly sensitive to the bribery accusations levelled at GSK.
Thirdly, since the 18th party congress, the government's stated resolve to tackle corruption has raised public expectations for action. A case of such rife misconduct would naturally arouse great attention.
According to the public security authorities, a Chinese subsidiary of the British drug giant allegedly used a network of travel agencies to give millions in kickbacks to government officials, a small number of drug trade associations, medical foundations, hospitals and doctors, in order to boost drug sales and raise prices.