China says GSK probe part of business climate clean-up

China's probe into UK pharma major GlaxoSmithKline (LSE: GSK) was part of the country's efforts to improve business climate and create equal competition opportunities for domestic and overseas investors, said a commerce official reported by the Chinese news agency Xinhua.

Shen Danyang, the spokesman for the Ministry of Commerce (MOC), made the remarks at a press conference when asked to comment on the ongoing investigation into GSK (The Pharma Letters July 11 and 16). Mr Shen said China firmly opposes any form of commercial bribery, regardless of whether the company involved is Chinese or foreign,

Any company, be it Chinese- or foreign-funded, should be subject to legal sanctions and assume legal responsibility if it breaks Chinese law, Mr Shen said. As a well-known multinational company, GSK should also conduct investment activities in China in accordance with relevant Chinese laws, he added.