Serbia continues purge in state pharma sector
Five professionals connected to state owned pharmaceuticals giant Galenika were arrested as part of a nationwide initiative run by the interior ministry and prosecutor’s office to combat corruption in the state sector, the local media reported, September 11.
“Criminal charges will be filed for abuse of power and money laundering against the five persons and one who has been arrested earlier,” Serbian press wire Tanjug reported.
Those arrested include Galenika’s former GM, Dragan S., and deputy GM at affiliated company B.G Pharm Milica M, according to Tanjug.
Galenika controls approximately one third of the Serbian medicine production market. The company currently has an outstanding debt of some EUR 170 mln.
At the end of 2012,the Serbian government announced plans to privatize the company. It received a single bid from Canadian pharma giant Valeant, which withdrew following public protests by Galenika employees.