Important note: Information in this article was accurate in 2003. The state of the art may have changed since the publication date.
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Reuters NewMedia - Thursday November 13, 2003
Wambui Chege
But the AIDS Healthcare Foundation (AHF), which said it hoped to file the suit against the subsidiary of Europe's biggest drugmaker soon, said it would drop the lawsuit threat if GSK created a one billion rand ($150 million) fund for free AIDS drug treatment in South Africa.
South Africa has the highest number of people living with HIV /AIDS in the world, an estimated 5.3 million people, equivalent to about 12 percent of the country's 45 million population.
"This joint action lawsuit against GSK will seek the awarding of damages by the courts to patients or dependants who lost breadwinners to AIDS, who because of excessive pricing by GSK, were not able to access treatment," an AHF statement said.
The move follows an investigation by South Africa's Competition Commission which found GSK and Germany's unlisted Boehringer Ingelheim had violated the country's 1998 Competition Act by refusing to license their patents to generic manufacturers in return for a reasonable royalty.
The Commission recommended a penalty of 10 percent of annual sales of the firm's anti-retroviral drugs in South Africa for each year they were found to have violated the Competition Act.
The October ruling, hailed by activists, was issued as GSK announced a further price cut for its Combivir AIDS treatment in poor countries to 65 U.S. cents a day from 90 cents.
Vicki Ehrich, spokeswoman for GSK South Africa, told Reuters the suit was based on incorrect information, and they were in talks with the Treatment Action Campaign, a leading AIDS lobby group which led the complaint with the competition watchdog.
"We have until November 28 to reach a settlement. Hopefully that will be concluded soon," said Ehrich.
Michael Weinstein, president of the AHF, said that was not good enough and on Wednesday called a news conference asking AIDS sufferers and family members who had lost relatives to the disease to join the proposed lawsuit.
AHF will file the suit jointly with AIDS Therapeutic Treatment Now, South Africa. Both are partners in a free AIDS treatment clinic in KwaZulu-Natal province.
"The weight of many of these deaths and the ongoing pain and suffering of those who cannot access medications falls squarely on GSK," AHF said.
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