As expected, NIH Director Elias Zerhouni on Tuesday announced an overhaul of agency ethics guidelines that will restrict all 18,000 NIH employees’ outside consulting activities for pharmaceutical companies, hospitals, insurers and health providers “in an effort to restore luster” to NIH’s “tarnished reputation,” the... Wall Street Journal reports (Wysocki, Wall Street Journal, 2/2). The Los Angeles Times in December 2003 reported evidence of hundreds of consulting payments from pharmaceutical and biotech companies to a number of NIH employees, some of which involved potential conflicts of interest. Over the past year, a series of congressional investigations and hearings examined the financial arrangements (Baer, Baltimore Sun, 2/2). Under the revised guidelines, about 6,000 high-ranking NIH employees will no longer be allowed to hold stock in pharmaceutical or biotechnology companies, and current stockholders in that group must sell all shares (Wall Street Journal, 2/2). Other NIH employees “with no control over purse strings or policies” will be subject to a $15,000 limit on “health-related stock holdings,” the Washington Post reports (Weiss, Washington Post, 2/2). The guidelines, which will take effect as soon as they are published, also limit awards that scientists may receive to no more than $200, with the exception of the Nobel and Lasker prizes (Baltimore Sun, 2/2). According to the AP/Raleigh News & Observer, the guidelines do not affect scientists’ “official duties in turning basic research into health treatments,” which typically calls for industry involvement. Scientists also will be permitted to conduct courses and lectures and write textbooks and articles related to their work (Schmid, AP/Raleigh News & Observer, 2/2). NIH Deputy Director Raynard Kington said NIH officials are reviewing previous potential conflicts of interest and will enter the “penalty phase” if violations are found (Baltimore Sun, 2/2).