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The bribery and tax-evasion scandal unfolding in China has enveloped at least 30 GlaxoSmithKline employees, including as many as six executives who are under house arrest, according to The Telegraph. Among them is the drugmaker’s legal counsel in China and one UK national, although Reuters reports no UK nationals have been detained. The details are emerging one day after China’s Ministry of Public Security issued a statement accusing Glaxo of involvement in a “huge” scheme and ‘serious economic crimes’ to raise drug prices by bribing doctors and government officials in three cities - Changsha, Shanghai and Zhengzhou. The Telegraph adds that Glaxo offices in the central city of Chongqing were also raided by the police. The drugmaker is also suspected of being involved in a form of tax evasion, by falsely issuing exclusive value-added tax invoices and colluding with travel agencies to issue false invoices for ‘project sponsorships.’
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