More Migraines At Baxter

The aches and pains at Baxter International won't go away, and some big investors are eager for a cure. In March, Baxter admitted violating a U.S. law prohibiting support of the Arab boycott of Israel. Now, the Veterans Affairs Dept. has suspended Baxter from bidding on federal contracts for a year. The VA's beef: Baxter salespeople allegedly misled VA hospitals from 1990 to 1992. Baxter says it thought the purchasing complaint was resolved two years ago and will fight the suspension. Meanwhile, the California Public Employees' Retirement System and other big shareholders are questioning Baxter's management controls.

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