'Botox Ingredient' Medytox-Daewoong Pharmaceutical Technology Leakage Dispute... Prosecutors Dismiss Charges (Comprehensive)
Daewoong Pharmaceutical "Expecting Appropriate Civil Outcome" Welcomes
Medytoks "Contradicts US ITC and Disease Control Agency Judgments" Opposes
[Asia Economy Reporters Lee Gwan-ju and Lee Chun-hee] The five-year-long dispute over the technology leakage of the botulinum strain, the raw material for Botox injections, between Medytox and Daewoong Pharmaceutical has been concluded with a no-charge decision by the prosecution.
The Criminal Division 12 of the Seoul Central District Prosecutors' Office (Chief Prosecutor Lee Deok-jin) announced on the 4th that Daewoong Pharmaceutical Corporation and its executives, who were accused of violating the Act on the Prevention and Protection of Industrial Technology Leakage, were cleared of charges. For parts where the statute of limitations had expired, the prosecution declared no right to prosecute.
Medytox filed a complaint with the prosecution in 2017, alleging that Daewoong Pharmaceutical stole the botulinum strain technology it developed and then announced it as if it had been developed independently in their laboratory.
After raiding Daewoong Pharmaceutical’s headquarters last year and conducting digital forensics and collecting testimonies from related employees, the prosecution concluded that there was no evidence to recognize that Medytox’s proprietary botulinum strain or manufacturing process information had leaked to Daewoong Pharmaceutical.
Medytox and Daewoong Pharmaceutical had previously engaged in litigation in the United States. In 2020, the U.S. International Trade Commission (ITC) ruled that Daewoong Pharmaceutical infringed on Medytox’s trade secrets regarding the botulinum strain manufacturing process and banned the import and sale of JuBo in the U.S. for 21 months. Both companies appealed this decision and reached a settlement in February last year. However, domestic prosecution investigations and civil trials continued.
The reactions from both sides to the prosecution’s decision were mixed. A Daewoong Pharmaceutical official told Asia Economy, "We believe the prosecution’s no-charge decision is the correct outcome," adding, "There is still a civil lawsuit pending, and we expect a fair result." He further stated, "Since the prosecution concluded that it is difficult to see that manufacturing process information was leaked, we hope this will be reflected in the trial as well."
Hot Picks Today
"Stocks Are Not Taxed, but Annual Crypto Gains Over 2.5 Million Won to Be Taxed Next Year... Investors Push Back"
- "Don't Throw Away Coffee Grounds" Transformed into 'High-Grade Fuel' in Just 90 Seconds [Reading Science]
- Nana Home Intruder Who Filed 'Counter Attempted Murder Complaint' Referred to Prosecution for False Accusation
- "Groups of 5 or More Now Restricted"... Unrelenting Running Craze Leaves Citizens and Police Exhausted
- "Even With a 90 Million Won Salary and Bonuses, It Doesn’t Feel Like Much"... A Latecomer Rookie Who Beat 70 to 1 Odds [Scientists Are Disappearing] ③
Medytox opposed the prosecution’s decision. Medytox stated, "The prosecution’s no-charge decision is an incomprehensible ruling that clearly contradicts the scientific judgment of the U.S. International Trade Commission and the investigation request by the Korea Disease Control and Prevention Agency," adding, "We plan to immediately proceed with appeals and other objection procedures to correct this error."
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.