The State Commission for Economic Protection )SCEP) says that it has launched legal action 15 drug companies and 12 medical institutions in Armenia based on the findings of inspections and research it carried out over the past several months.

134 medical institutions and 314 commercial enterprises engaged in the drug trade were included in the project.

The findings show that 109 of the medical institutions violated laws pertaining to tender bids for drugs and that in 66, the bidding process was completely absent.

In other words, medications were purchased from companies not based on price or quality but rather on nepotism, favouritism and kickbacks.

The SCEP summarized its findings at a session held on January 21.

The SCEP findings revealed that the 37 tender bids organized by 26 medical institutions were merely for show. Of the seven companies that participated, the same firm won all the bids.

The SCEP states that the larger drug companies have a monopoly on providing medical institutions in Armenia with product and that the two sectors have built up a cozy commercial relationship over the years.

The 15 drug companies singled out as violators include Natali Farm, Viola, Amicus, Yevropharm, Ruspharm, Grimos Group and Delta.