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If those companies do not comply or break FDA regulations, they face US level fines and can even see valuations collapse [1] Ohhh scary !!! They circumvent th
by jqpabc123 3y ago
If those companies do not comply or break FDA regulations, they face US level fines and can even see valuations collapse [1]
Ohhh scary !!!
They circumvent this by simply setting up a privately held front company in New Jersey to be the importer of record.
If the fines are minimal, they just pay them and continue business as usual.
If the fines are too much or they run into PR issues that affect their business, they simply shut the front company down and start up a new one.
In one particular case I have seen, the name of new company was the same as the old one but spelled backwards.
- alephnerd 3y ago> They circumvent this by simply setting up a privately held front company in New Jersey to be the importer of record. This is for Food, Supplements, Cosmetics, and other products that fall under the "Food Safety" Division For drugs and biologics, the regulations are much stricter after the fallout from the Ranbaxy scandal in 2013.
- jqpabc123 3y agothe regulations are much stricter after the fallout from the Ranbaxy scandal in 2013. And yet 10 years later, problems found with adulterated generic drugs and recalls are only increasing. January 2023 saw a significant increase in the number of drug recalls and units recalled compared to the Q4 2022 monthly average. https://www.pharmaceuticalprocessingworld.com/drug-recalls-2022-2023-contamination-sterility-concerns/ https://www.pharmaceuticalprocessingworld.com/drug-recalls-2...