The senior executives of the Chinese subsidiary of British pharmaceutical company GlaxoSmithKline (GSK) have "confessed to serious commercial bribery and tax crimes" following an investigation by China's Ministry of Public Security.
"After interrogation, the suspects fully confessed their crimes," the ministry said. "The evidence substantially proves some senior executives of GSK China Investment and senior executives of some travel agencies were involved in serious commercial bribery and tax crimes."
The ministry found that in recent years, GSK China Investment used various channels like travel agencies to bribe without restraint government officials, drug associations, medical foundations, hospitals and doctors.
The firm engaged in direct bribery as well as indirect bribery through its sponsorship of various activities, the ministry said.
The ministry also revealed that some executives at GSK China Investment had used false value-added tax receipts, fake receipts from travel agencies for trips and fake general receipts.
"The number of people implicated in this case is many, the duration of the crimes is extensive, the money involved is huge, and the nature of the crimes severe," the ministry said.