AUTH/2366/10/10: Ex-employee v Lilly — excessive hospitality, CRM attendee misreporting, and disclosure concerns | PMCPA Case

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Key facts

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Case	AUTH/2366/10/10
Parties	Ex-employee v Eli Lilly and Company Limited
Issue	Conduct of representatives and meeting arrangements (2008–2009)
Complaint received	21 October 2010
Case completed	8 April 2011
Applicable Code year	2008
Breach clauses (as listed)	2, 9.1 (x2), 15.2 (x2) and 19.1
Key meeting (Oct 2008)	Indian restaurant meeting with 5 attendees; bill £192 (£38.40 per person) plus taxis £35; alcohol consumption described as excessive
Key meeting (May 2009)	Hospital group sell lunch planned for 4 nurses; only 1 attended; food spend £56.54 (~£11/head); appeal found inappropriate request to record non-attendees as attendees in CRM
Off-licence allegation (June 2008 speaker tour)	Not proven; no breach ruled for Clauses 3.2 and 15.2 (2006 Code) and no breach of Clause 2
Sanctions	Undertaking received; Advertisement

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Reviewed by Dr Anzal Qurbain (FFPM) — ABPI Final Signatory

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What happened

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An ex-employee complained about Lilly representatives’ conduct and meeting arrangements across 2008–2009.
Speaker tour (June 2008): A US endocrinologist presented to diabetologists. Allegation: reps were instructed to encourage off-licence discussion of Byetta with glitazones.
Restaurant meeting (Oct 2008): District sales manager, two reps and two diabetes specialist nurses (DSNs) met at an Indian restaurant. No written agenda was provided; one rep recorded the meeting lasted four hours.
The restaurant bill was £192 for 5 attendees (£38.40 per person) and included substantial alcohol (seven pints of beer, two gins, two whiskies, seven whisky liqueurs and three large glasses of red wine). Two taxi fares (assumed for the nurses) totalled £35.
The meal and taxis were submitted on a representative’s expenses under “Group Sells” and approved by the manager who attended; the Panel considered the most senior person present should have submitted the expenses for approval by his manager.
Hospital group sell (May 2009): A lunchtime meeting was planned for four nurses; only one attended. Food cost was about £11 per head (total spend £56.54). The representative left remaining food for the non-attendees.
Appeal development (May 2009 meeting): It emerged that the representative asked the attending nurse whether it would be acceptable to record the other nurses as attendees in the CRM system to justify the food expenditure; the non-attendees’ names remained on the CRM record.
The Appeal Board also raised concerns about internal communication and full and frank disclosure to the Panel (information about the senior DSN being upset appeared to be known within Lilly but not provided to those handling the complaint).

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Outcome

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Off-licence promotion allegation (speaker tour): Not proven; no breach of Clauses 3.2 and 15.2 (2006 Code) and no breach of Clause 2.
Oct 2008 restaurant meeting: breaches found for excessive hospitality and associated conduct/arrangements.
May 2009 hospital group sell: Panel initially ruled no breach (including Clause 2). On appeal, the Appeal Board ruled breaches for ethical conduct/high standards due to the request to collude on CRM attendance and the impact on the senior DSN; but upheld no breach for hospitality and Clause 2.

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AUTH/2366/10/10: Ex-employee v Lilly — excessive hospitality, CRM attendee misreporting, and disclosure concerns

Key facts

What happened

Outcome

Clauses

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