Doctors and Pharmacists Fined 30 Million Won for Exchanging Hospital Interior Costs

Approval of Pharmaceutical Affairs Act and Medical Service Act Amendments
Effective from the 23rd

The Pharmaceutical Affairs Act and the Medical Service Act have been amended to impose disqualification and penalties of up to three years imprisonment or fines up to 30 million KRW for acts of providing, receiving, or mediating improper economic benefits such as hospital subsidies.

There have been social issues regarding medical institutions demanding or providing subsidies under the precondition of "prescription linkage" to prospective pharmacy owners, citing interior costs or medical institution rental fees.

The Ministry of Health and Welfare announced that the "Pharmaceutical Affairs Act Amendment" and the "Medical Service Act Amendment," which restrict the provision and acquisition of improper economic benefits such as hospital subsidies between pharmacists preparing to open pharmacies and medical institutions, were approved at the Cabinet meeting on the 16th.

The amended Pharmaceutical Affairs Act includes ▲ prohibition of providing improper economic benefits by pharmacy owners (including those intending to open) ▲ prohibition of mediation, brokerage, or advertising for mediation or brokerage of economic benefits by anyone ▲ mitigation of responsibility upon voluntary reporting ▲ disqualification of pharmacist license upon violation.

The amended Medical Service Act includes ▲ prohibition of acquiring improper economic benefits by medical institution owners (including those intending to open) ▲ disqualification of medical license upon violation.

The laws will take effect from the 23rd, and rewards will be given to those who report or accuse violations.

Jung Kyung-sil, Director of Health and Medical Policy at the Ministry of Health and Welfare, stated, "Through the amendments to the Pharmaceutical Affairs Act and the Medical Service Act, a legal basis has been established to punish the provision and acquisition of improper economic benefits during the process of preparing to open pharmacies and medical institutions," adding, "This will serve as an opportunity to eradicate illegal acts that have been regarded as customary practices."

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