At the same time that Novartis had confessed to unfair practices in the USA, its corresponding subsidiary in Greece, “NOVARTIS HELLAS AEVE”, was proceeding to exclude competitors with overt restrictions and defamation practices, as reflected in the recommendation of the Competition Commission.
The Rapporteur’s Report was published on the Commission’s website and as noted is not binding, however it is expected to be discussed in December 2024.
It is recalled that about a month ago, the American government paid damages amounting to tens of millions euros to the public interest witnesses (whistleblowers) in the USA for their contribution to clarifying the case.
The Competition Commission has gathered data that “Novartis Hellas” as well as its parent company implemented a single, multi-dimensional and systemic strategy to exclude competing drugs for nine years, i.e. from 2009 to 2017.
This strategy extended across the spectrum of the market for the treatment of macular diseases, i.e. occupying both private doctors and private clinicsas well as doctors and public hospitals and agencies throughout the Greek territory.
Specifically, using overt restrictions, defamation, disparagement and disparagement practices directly harmed the Greek State, competitors, as well as consumers/patients.
Specifically, he was using a multitude of combined practices such as:
– naked restrictions, i.e. through practices such as direct or indirect payments and various types of benefits to ensure the exclusion of competing drugs and increase the prescription of NOVARTIS’s drug (such as travel to conferences, participation in epidemiological studies, donations ), as well as
– practices of defamation / depreciation / denigration, i.e. a practice that involves the dissemination of defamatory claims and news with the aim of influencing consumers / doctors and the exclusion of competing medicines.
As the Competition Commission notes, the above strategy was adopted and implemented by NOVARTIS in the Greek market, whether this strategy concerned the entry of new drugs into the market, or the discontinuation of the use of drugs already in widespread use and the banning of their circulation in the Greek market.
Through this strategy, NOVARTIS, throughout the violations, directly harmed the Greek State, competitors, as well as consumers/patients.
According to the Rapporteur’s Report, the duration of the application of the strategy concerns one duration nine (9) years, from 2009 to 2017.
During the said period, NOVARTIS held a dominant position in the relevant market of said ophthalmic drugs for the treatment of macular diseases in Greece.
It is noted that the Plenary Session of the Competition Commission will meet on December 4, 2024 to examine, following the relevant Report of the Rapporteur P. Fotis, whether there is a violation of Article 2 of Law 703/1977, Article 2 of Law 3959/2011 and of Article 102 of the TFEU by the companies NOVARTIS HELLAS AEVE and NOVARTIS AG.
In a statement, the company states that it “respects the institutional role of independent administrative authorities”.
“However, he disagrees with the content of the submission and categorically denies the allegations of alleged past practices, which he will contest by all legal means in the ongoing administrative process.
The company will continue to act in accordance with the current institutional framework. We remain committed to the country and to Greek patients”, concludes the Novartis announcement.
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