Prosecutors Conduct Search and Seizure at Kyungbo Pharmaceutical's Seoul Metropolitan Office over Suspected Hundreds of Billions Won in Rebates

The prosecution conducted a search and seizure at the office of Kyungbo Pharmaceutical located in the Seoul metropolitan area, which is suspected of providing rebates worth hundreds of billions of won to hospitals.

The Food and Drug Crime Investigation Division of the Seoul Western District Prosecutors' Office (Chief Prosecutor Song Myeong-seop) announced on the 5th that it had conducted a search and seizure at Kyungbo Pharmaceutical's branch office in the Seoul metropolitan area.

The prosecution also conducted a search and seizure at Kyungbo Pharmaceutical's headquarters in Seodaemun-gu, Seoul, on the 18th of last month.

Earlier, in 2021, whistleblower A reported to the Anti-Corruption and Civil Rights Commission that Kyungbo Pharmaceutical had illegally provided rebates totaling 40 billion won over nine years since 2013 by returning more than 20% of the drug price to hundreds of hospitals and clinics nationwide.

The Anti-Corruption and Civil Rights Commission requested the prosecution to investigate Kyungbo Pharmaceutical for violations of the Medical Service Act, the Pharmaceutical Affairs Act, and the Fair Trade Act in September of the same year. The Supreme Prosecutors' Office transferred the case to the Seoul Western District Prosecutors' Office, which specializes in food and drug-related cases.

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