Aids group accuses Glaxo of fraud

GLAXOSMITHKLINE is in hot water in the US again. Exactly a week after it brokered an agreement with New York attorney general Eliot Spitzer, the UK drugs company faces a court claim from a leading Aids group, accusing it of fraud and overpricing.

The Aids Healthcare Foundation says GSK 'manipulated' discounts it charged to providers of medical care for the poor.

It has lodged a suit with the District Court in Los Angeles in a bid to claw back costs. GSK settled a similar claim for £49m.

AHF president Michael Weinstein said: 'When it comes to Aids drug-pricing policies, we believe Glaxo is the original sinner.'

GSK and AstraZeneca are among 44 companies still being sued by several American states for alleged profiteering.

GSK said it 'lived up to its obligations' to provide discounts to Medicaid groups such as the AHF and will defend the case vigorously.