FTC Chairwoman Lina Khan accused of bias against pharmacy benefit managers, ethics complaint filed.
EXCLUSIVE: Possible Ethics Inquiry for FTC Chairwoman Lina Khan
Federal Trade Commission Chairwoman Lina Khan may face an ethics inquiry over allegations of violating the agency’s ethics rules. The American Accountability Foundation has submitted a Freedom of Information Act request seeking access to communications between Khan and other agency staff regarding pharmaceutical benefit managers (PBMs) and other drug manufacturers.
During a conference, Khan appeared alongside executives from the National Community Pharmacists Association (NCPA) who wore shirts depicting PBMs as vampires. This raised concerns about possible political motivation when Khan later announced punitive actions against PBMs.
The FTC’s previous guidance on PBMs has been revised, with the agency now warning against relying on advocacy letters opposing transparency policies. Instead, Khan has initiated an inquiry into the PBM industry, prompting criticism from those who believe it ignores ethical guidelines in favor of a “progressive agenda.”
Former Rep. Ryan Costello, who served on the House Oversight Committee, expressed concern that the FTC’s actions will increase drug costs for all Americans.
The ethics complaint against Khan alleges that she failed to act impartially and gave preferential treatment to certain organizations. This follows a previous inquiry by the House Judiciary Committee regarding Khan’s adherence to ethics advice.
It remains to be seen how quickly the latest complaint will progress through the FTC. The agency has not yet commented on the matter.
Key Points:
- FTC Chairwoman Lina Khan may face an ethics inquiry over alleged violations of agency ethics rules.
- The American Accountability Foundation has requested access to communications between Khan and agency staff regarding PBMs.
- Khan’s appearance at an NCPA conference, where executives depicted PBMs as vampires, raised concerns about political motivation.
- The FTC has revised its guidance on PBMs and initiated an inquiry into the industry, drawing criticism for potential disregard of ethical guidelines.
- Former Rep. Ryan Costello warns that the FTC’s actions could lead to increased drug costs for Americans.
- The ethics complaint accuses Khan of failing to act impartially and giving preferential treatment to certain organizations.
- The House Judiciary Committee previously raised concerns about Khan’s adherence to ethics advice.
- The progress of the latest complaint through the FTC is uncertain at this time.
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