Pharma firms found guilty in supply of life-saving drug to NHS

Three pharmaceutical companies conducted illegal activity into the supply of a life-saving medicine, an investigation has found.

An investigation by the Competition and Markets Authority (CMA) found that an illegal agreement had formed between pharmaceutical companies Amilco, Tiofarma and Aspen, relating to the supply of fludrocortisone to the NHS.

Fludrocortisone is a prescription-only medicine mainly used to treat primary or secondary adrenal insufficiency, commonly known as Addison’s Disease.

The investigation found that Amilco and Tiofarma agreed to stay out of the fludrocortisone market so that Aspen could continue to be the sole supplier of the drug in the UK.

Due to its position as the sole supplier of the drug, Aspen was able to increase the price of fludrocortisone by up to 1,800%.

In exchange, Amilco received a 30% share of the increased prices that Aspen was able to charge, and Tiofarma was given the right to be the sole manufacturer of the drug in the UK.

The investigation was opened in October 2017 and found that all three companies infringed Chapter 1 of the Competition Act 1998 and Article 101 of the Treaty on the Functioning of the European Union.

All three companies have admitted to breaching competition law and a range of measures including fines have been levied at the companies.

Amilco’s director, Amit Patel, has been given a disqualification undertaking not to act as a director of any UK company for five years.

The CMA has fined the companies a total of £2.3 million for the illegal behaviour and Aspen has paid the NHS £8 million to resolve concerns in relation to fludrocortisone.

EPM has reached out to Aspen for comment.