The Fda May Be In Hot Water Again

Just as the Food & Drug Administration is beginning to recover from the generic-drug scandals of 1988, the agency may be heading for another disgrace. A federal grand jury in Baltimore is investigating charges that FDA officials passed confidential information about coming drug approvals to brokerage firms in return for cash. Approval for a major drug often sends the stock of its maker soaring. An FDA spokesman admits that several employees have been subpoenaed but says that the agency has no evidence of wrongdoing.

To continue reading this article you must be a Bloomberg Professional Service Subscriber.