Swiss competition commission investigates Novartis over alleged illegal use of patent | The Financial Express

Swiss competition commission investigates Novartis over alleged illegal use of patent

Moreover, the pharma company also stated that the COMCO had initiated an investigation in collaboration with the European Commission into the assertion of a patent in the broader field of dermatology treatments.

Swiss competition commission investigates Novartis over alleged illegal use of patent
PNH is a rare, acquired, life-threatening disease of the blood and is characterized by the destruction of red blood cells, blood clots, and impaired bone marrow function. (File)

The Swiss competition commission (COMCO) has initiated an investigation on Novartis over the alleged unlawful use of a patent to reduce competitive pressure. On Tuesday, COMCO conducted an early morning raid on the company, however, it did not reveal the name of the company in its statement. Meanwhile, the pharma major announced on Thursday that it is under investigation.

“The company allegedly attempted to protect its drug for the treatment of skin diseases against competing products by using one of its patents to initiate litigation proceedings,” COMCO said in a statement as quoted by Reuters.

Moreover, the pharma company also stated that the COMCO had initiated an investigation in collaboration with the European Commission into the assertion of a patent in the broader field of dermatology treatments.

“In connection with this investigation, COMCO representatives visited the company headquarters in Basel. The opening of an investigation does not imply any finding of wrongdoing or any financial impact. Novartis is fully cooperating with the authorities and is confident to clarify the legitimacy of its position,” the company said in a statement as quoted by Reuters.

According to COMCO, the company is being probed to determine whether the alleged behaviour constitutes the use of a so-called blocking patent, which might amount to an unlawful abuse of an allegedly dominant position according to the Swiss Cartel Act.

“The opening of an investigation does not imply any finding of wrongdoing or any financial impact. Novartis is fully cooperating with the authorities and is confident to clarify the legitimacy of its position. As this is an ongoing investigation in its early stages, we will not comment further at this point in time,” the Swiss pharma company said in its statement on Thursday.

ALSO READ | Novartis to invest $ 300 million in early technical development capabilities for biotherapeutics

Get live Share Market updates and latest India News and business news on Financial Express. Download Financial Express App for latest business news.