If you think this is unique to China think again, see this article about Johnson & Johnson in the USA... -AK
http://abc7chicago.com/news/glaxosmithkline-fined-$4888m-for-massive-bribery-network-/316390/GLAXOSMITHKLINE FINED $488.8M FOR 'MASSIVE BRIBERY NETWORK'
Friday, September 19, 2014
BEIJING -- China has fined the British pharmaceuticals giant GlaxoSmithKline (GSK) $488.8 million (3 billion Yuan) for a "massive bribery network" to get doctors and hospitals to use its products. Five former employees were sentenced to two to four years in jail, but ordered deported instead of imprisoned, according to state news agency Xinhua today.
The guilty verdict was delivered after a one day closed door trail in Changsha, the capital city of Hunan province. The fine was the biggest ever imposed by a Chinese court.
The court gave Mark Reilly, former head of GSK Chinese operations, a three-year prison sentence with a four-year reprieve, which meant he is set to be deported instead of serving his time in a Chinese jail. His co-defendants received two to four years prison sentences with reprieves.
Reilly was accused of operating a "massive bribery network" in May. The police said it is believed Reilly authorized his salespeople to pay doctors, hospital officials and health institutions to use GSK's products since 2009.
Chinese authorities first announced the investigation on GSK in July 2013. The police said the company had funneled up to 3 billion Yuan to travel agencies to facilitate bribes to doctors and officials. The money was the exact amount of the fine.
Throughout 2012 a stream of anonymous emails alleging bribery authorized by senior staff at GSK were sent to Chinese regulators, according to media reports. At the beginning of 2013, the anonymous emails began to arrive at GSK headquarter in London, along with a sex tape of Mark Reilly and his Chinese girlfriend, according to media reports.