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Eli Lilly Gave Away $11.8M
in First Quarter

495 Groups Received Donations;
Critics Call Practice Influence-Peddling

JOHN RUSSELL / Indianapolis Star 2may2007

 

Eli Lilly and Company
Grant Registry Report below


Also see:
Senate Finance Committee report
Committee Staff Report to the
Chairman and Ranking Member
Use of Educational Grants by
Pharmaceutical Manufacturers
(4.71 MB PDF)

Under growing pressure from Congress and consumer groups to reveal more about who gets its money, Eli Lilly and Co. is naming names — nearly 500 of them.

The Indianapolis-based company became the first drug company to disclose which U.S. organizations — including hospitals, patient groups, medical societies and nonprofit institutions — received money.

Lilly said Tuesday it gave $11.8 million to 495 organizations during the first three months of the year. It's just a fraction of the $509 million Lilly earned in the first quarter.

The gifts don't involve Lilly Endowment, a private charitable organization that is separate from the company.

The pharmaceutical giant said more than 90 percent of the funds were used for continuing education for physicians at medical seminars and at academic medical centers. Lilly said none of the money was used for clinical trials or to promote the company's products.

Even some consumer advocates who track the issue called the figures eye-opening.

"That's a huge number of recipients, far larger than I would have imagined," said Peter Lurie, deputy director of the Health Research Group at Citizen Action in Washington, a national consumer-advocacy group.

The largest gift was $825,000 to Massachusetts General Hospital's psychiatry department. The National Alliance for the Mentally Ill, a patient-advocacy group, got $450,000 for the national organization and smaller amounts for state affiliates.

Lilly said it focused its gifts on areas where it has a "particular scientific and drug-development expertise," such as neuroscience, cancer and diabetes. Its best-selling drug, Zyprexa, treats schizophrenia and bipolar disorder.

Spokesman Ed Sagebiel said the company has been looking at the issue for more than a year, and made a decision at the end of 2006 to disclose the donations. He said all the recipients were told of the company's plan. The company plans to update the list quarterly.

"We want to be more open and transparent about the organizations we support," he said.

But some critics call the relationship a way for drug companies to buy influence with doctors who make decisions on which drugs to prescribe. "There's no such thing as a free lunch," said Bill Vaughn, a senior policy analyst at Consumers Union, publisher of Consumer Reports. "When doctors get $10,000 from a drug company, the feeling is, 'I owe you one.' "

For years, drug companies have given millions for doctors and patient groups to speak to their colleagues about diseases and research as part of continuing medical education. States require doctors to receive continuing education to maintain their accreditation.

Last month, the Senate Finance Committee wrapped up a two-year investigation by concluding that pharmaceutical companies use the contributions to expand their markets for new medications, according to a draft copy of the committee's report. [Senate Finance Committee report (4.71 MB PDF)]

Some critics of the arrangement have pushed for laws barring drug companies from giving large gifts or grants to doctors, but there is no law prohibiting it. They say drug companies can set the agenda of which diseases to promote, based on drug companies' marketing goals.

"Their messages are not promoting a specific drug. But they could say, 'Disease X is widespread and underdiagnosed,' " said Dr. Adriane Fugh-Berman, associate professor of physiology and biophysics at Georgetown University Medical Center. "If you've got the drug for Disease X, that's a marketing-friendly message you want to get out there."

But Lilly said that is not why it pays money to doctors and medical groups. The company said its money is merely helping to promote education and research.

"There is great value in the funding we are providing to the health-care system," Sagebiel said. "We're not ashamed of it: That's why we're disclosing it."

source: 6may2007


Eli Lilly and Company 
Grant Registry Report

27apr2007

As a component of this goal, Lilly is committed to supporting projects that promote excellence in patient care and valuable information to the medical community.

Disclosure of Grants and Contributions Funded by Eli Lilly and Company

Lilly has for many years provided funding in the form of educational grants and charitable contributions to support medical education, patient education, and other worthy activities that we believe increase healthcare knowledge and improve patient care. As a business that exists to serve patients, we believe in being transparent and open regarding our educational and charitable giving. That is why we are making this online public disclosure of Lilly grants and charitable contributions to healthcare-related organizations.

In the United States, Lilly has two sources of grants or charitable contributions that are documented on this website:

In addition, a separate entity, the Eli Lilly and Company Foundation, responds to requests for charitable contributions to 501(c)(3) organizations in two categories:

Lilly upholds the highest standards in the way we conduct business. Therefore, when we respond to requests for grants and contributions, the policies and procedures we follow are designed to assure that there is no inappropriate influence by the Company on the content or balance of educational programs, and that all grants and contributions are made in full compliance with applicable laws and regulations.

To provide oversight, the LGO uses therapeutic area review committees: neuroscience, critical care, cardiovascular disorders, oncology, women’s health, urology, diabetes mellitus, growth disorders, general medicine, and corporate affairs. A therapeutic area review team consists of an associate from the LGO and various professionals from Lilly’s medical organization and/or corporate affairs. The LRL Grant Office policies and procedures for grant funding mirror those of the LGO, varying only as necessary to accommodate LRL Grant Office’s non-U.S. focus. The Lilly Foundation is governed by an internal board of directors representing the major functions of the company.

source: https://www.lillygrantoffice.com/grant_registry.jsp 3may2007


Requestor / Program/Project Description / Individual Payment Amount

* Negative payment amounts indicate unused grant dollars returned to Lilly in accordance with Letter of Agreement terms.
Other report notes: Similar payments to the same organization may appear in this report as grants may be distributed in multiple payments

Friday, April 27, 2007 6:41:37AM

source: https://www.lillygrantoffice.com/docs/q1_registry_report.pdf 3may2007

Also see: https://www.lillygrantoffice.com/index.jsp

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