Ilyang Pharmaceutical Accused of Falsely Announcing COVID-19 Treatment Research Results... Police Launch Investigation

Violation of Capital Markets Act Charges
'Supect, Effective in COVID-19 Treatment' Press Release
Allegations of Exaggerating Non-Clinical Trial Effects
"Differences Between Research Report and Press Release"

[Asia Economy Reporter Oh Gyumin] The police are investigating Ilyang Pharmaceutical on charges of inflating stock prices by exaggerating research results that a leukemia treatment drug is effective in treating COVID-19.

The Financial Crime Investigation Unit of the Seoul Metropolitan Police Agency announced on the 29th that they are currently investigating Ilyang Pharmaceutical for violations of the Capital Markets Act and other charges.

In March 2020, Ilyang Pharmaceutical issued a press release stating that the leukemia treatment drug "Supect (generic name: Ridotinib)" was effective in treating COVID-19. They are suspected of providing false information to investors by claiming in the press release that "70% of the COVID-19 virus was reduced within 48 hours compared to the control group after Supect administration."

Additionally, Professor A from Korea University, who conducted the preclinical trials that formed the basis of the press release, reportedly stated that there were discrepancies between the research report and the press release. A police official said, "It appears that there are differences between the professor team's research report and the press release based on it."

Ilyang Pharmaceutical had previously announced in March last year that the drug failed to properly demonstrate efficacy in treating COVID-19 during Phase 3 clinical trials conducted in Russia.

This content was produced with the assistance of AI translation services.