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States Consider Cracking Down on Industry Gifts to Physicians

By News Staff
3/3/2006

At least nine states are considering requiring pharmaceutical companies to report the value of gifts they make to physicians, hospitals and pharmacists, according to a recent article in USA Today. One of those states, Massachusetts, is debating a bill that would ban all gifts to medical professionals from the pharmaceutical industry.

The states considering mandatory reporting of gifts are California, Hawaii, Illinois, Mississippi, New Hampshire, New York, Ohio and Pennsylvania. In addition, Maine, Minnesota, Vermont, West Virginia and the District of Columbia already have laws that require companies to report gifts given by drug companies, says the article.

The USA Today article notes that, according to the Vermont attorney general, pharmaceutical companies spent nearly $1.5 million in that state during the first six months of 2004, with the money going to rebates, discounts, fees, travel expenses, gifts and other payments to doctors, hospitals, universities and pharmacies.

The pharmaceutical industry does not need states to monitor companies' activities, says a representative of the Pharmaceutical Research and Manufacturers of America. "All of this is very heavily regulated by the FDA, which controls what companies can say to physicians about their drugs," says Marjorie Powell, senior assistant general counsel for PhRMA, in the article. "We don't think there's a particular need for states to get involved."

The AAFP supports guidelines developed by the AMA Council on Ethical and Judicial Affairs concerning gifts to physicians from industry and standards for commercial support of CME developed by the Accreditation Council for Continuing Medical Education.