Provide names of other journalists involved.
How Fake Cancer Drugs Entered U.S. – As Canadian Online Pharmacy Expanded Abroad, So Did the Risks of Counterfeits Penetrating Doctors’ Offices,” by Christopher Weaver and Jeanne Whalen, with Jonathan D. Rockoff and Shreya Shah contributing.
List date(s) this work was published or aired.
20-Jul-12
Provide a brief synopsis of the story or stories, including any significant findings.
This story for the first time revealed the central role of a Canadian business man at the center of the international drug distribution enterprise that channeled counterfeit versions of the cancer drug Avastin to dozens of U.S. medical practices. It shows how the Winnipeg-based international pharmacy executive – under pressure from drug makers and regulators – built a network of companies that exposed American patients to the risks of fake medicines, widely considered a third-world hazard. The executive, Kris Thorkelson, had for years sold foreign drugs channeled through this network to American customers through his websites, vexing pharmaceutical manufacturers and law enforcement officials, before turning to the even riskier business of supplying physicians with overseas versions of lifesaving treatments. The story unearthed documents and human sources close to Mr. Thorkelson’s business that showed how this grey market system exposed vulnerabilities in the American drug supply, prompting what a senior law enforcement official called “a watershed moment” for American authorities that believed the U.S. was sufficiently protected against counterfeit medicines.
Explain types of documents, data or Internet resources used. Were FOI or public records act requests required? How did this affect the work?
The article was built on documents assembled by investigators — including both government employees, whose findings emerged in court records in the U.S. and England, and evidence gathered by private investigators working on behalf of drug makers. The story also relied on records held by Internet registrars and government business filings in five countries to trace the breadth of the drug distribution network. Materials provided by independent human sources, such as faxed menus of drugs sent to doctors by the drug suppliers were also obtained. We did not rely on federal public records requests for reporting this story. As a simultaneous federal probe into the subjects of the story was ongoing, relevant documents potentially held by federal agencies would be exempt from disclosure under the Freedom of Information Act.
Explain types of human sources used.
Dozens of human sources, including people close to a U.S. investigation, industry sources, current and former associates of Mr. Thorkelson and employees of his companies provided accounts that allowed us to reconstruct the growth of his global drug distribution enterprise from a corner drugstore in Winnipeg, the fake Avastin episode, and a still-ongoing federal investigation. Some were unwilling to speak for attribution, saying doing so would risk their employment status, invite scrutiny from investigators or incite retaliation from their business associates. Sources familiar with the U.S. investigation into the source of the fake Avastin worried speaking to reporters could jeopardize that probe.
Results:
The story was the centerpiece of a series of Wall Street Journal reports on the topic, starting with a February 2012 story breaking the news that fake Avastin had reached U.S. medical practices. Subsequent stories further explored the U.S. investigation of the episode and the roles played by American doctors who risked buying drugs from unknown sources, some of whom have now pled guilty to charges related to their purchases. The coverage helped expose vulnerabilities in the U.S. supply chain – widely thought to be well-secured – and focused the attention of manufacturers, regulators and doctors on the risks of counterfeiting. The centerpiece story has been widely cited by industry and government officials seeking further action to secure the supply chain.
Follow-up (if any). Have you run a correction or clarification on the report or has anyone come forward to challenge its accuracy? If so, please explain.
We filed an online-only correction to clarify that the FDA had not previously detected fake versions of physician-administered cancer drugs in the U.S. In an initial version published on our website, we quoted the FDA as saying the Avastin was the first fake version of any cancer drug detected by their agents, but the agency later amended that statement.
Advice to other journalists planning a similar story or project.
Two challenges in reporting this story were that the necessary official and private sources spanned many U.S. jurisdiction and at least eight countries, and that many were reluctant to speak, either to protect their own business interests or an ongoing investigation that involved law enforcement and regulatory agencies in multiple countries. Information was obtained piecemeal, and the key to bringing it to the surface and confirming key facts was to make many, many phone calls. Our advice to other reporters pursuing multinational organizations operating in a legal gray zone is to be persistent and spend your free time calling potential sources, regardless of the likelihood that they’ll speak.