MiMedx a wound skin care provider has recently filed a lawsuit against its competitor – Osiris (Osiris Therapeutics). The company allegedly exposed that Osiris released an erroneous clinical data findings that give the wrong impression to the public consumers.
Last May 2, Osiris published their restrospective study comparing their wound care treatment brand Graffix with MiMedx’s EpiFix. The result favors Graffix against Epifix.
Few weeks later, MiMedx CEO, Parker Petit, issued a press released statement, that they are filing a lawsuit against Osiris. Petit is contradicting the results of the study, he pointed out that the finding was completely a disfavor to the medical community.
Osiris Retrospective Study: A Pseudoscience?
Petit called the study a Pseudoscience because it clearly doesn’t serve anyone. According to Osiris, in terms of drug efficacy rate – around 63% of the wound will closed completely with Graffix as compared with 18.2% of Epifix. But Petit highlighted that it is not fair to compare the two considering that Osiris tested the product with 46 patients against the 55 sample size of Epifix.
In comparing clinical data, the sample size should be atleast the same to confirm the validity of the results. More so, Petit mentioned that Osiris did not clearly mentioned what type of wounds were tested in the product, which is really very important for the authenticity of the results.
In his press released statement, Petit added that this is not the first issue that Osiris had to face. He recalled that the company had previous issues with the Security and Exchange Commission concerning some anomaly in their accounting practices.
The Series of Big Pharma Drama Continues
MiMedx is not immune from the flagging reputation of Big Pharma. This is not the first time that MiMedx got involved in a controversy. Early this year, their attention was called by the SEC concerning their marketing and account practices on January. Months later, the Department of Justice decided not to intervene with the company’s affairs.
The company also got involved with a lawsuit against another competitor Organogenesis, a company that makes substitute skin products. Organogenesis filed a lawsuit against MiMedx for allegedly providing a wrong information concerning wound care and interfering with their relationship with the Veterans Administration.
Less than a month later, Organogenesis, pulled out their suit against MiMedx.
Petit believes that Organogenesis may be involved in this never ending drama. He thinks that the company is the one behind all these. He strongly believes that Organogenesis is trying to ruin their reputation by releasing false statement with the intention of eliminating them in the business.
He revealed that there are a lot of questionable things going on with Osiris. He questions the stability of the company because of the continued amendment in the key positions in the company. He also recalls a former sales executive who pled guilty of conspiracy to the Department of Justice because of committing health care fraud in another company.
Restoring the Dying Reputation of the Big Pharma
Over the years, the Big Pharma has been involved in a series of controversies. The industry that supposed to serve and protect the health and well-being is now corrupted with deceit and obvious power-grabbing. Unfortunately, Big Pharma has become a big business, their marketing practices has practically alienated the patients and the medical community that they serve.
In 2012, the pharmaceutical industry spent more than $27 billion on marketing drugs while another $24 million on promoting to the physician and the balance spend on their consumers.
The competition among pharmaceutical companies becomes more aggressive and tougher. Companies ruin each other’s reputation to eliminate their competitors.
Studies showed that approximately two-thirds of the buying consumers are influenced by their perception of the company and only two-thirds actually think about the product. Thus, the impact of reputational decline may badly hurt a company’s sales performance. Probably this may be the reason why, lawsuits among pharmaceutical companies are now becoming more common.
It is alarming to note that medical error has become one of the third largest killers in the US aside from heart disease and cancer. Releasing false results sacrifices the health and well-being of the public; it is a sad reality that happens just for the benefit of the few.
Hagopian, J. (2016, March 7). Global Research. Retrieved May 24, 2016, from Global Research: https://www.globalresearch.ca/the-evils-of-big-pharma-exposed/5425382
Kessel, M. (2014). Restoring the pharmaceutical industry’s reputation. Nature Biotechnology , 983-990.