GSK - A non-non executive director

"GlaxoSmithKline plc (GSK) today announced, that following the disclosure of a potential conflict of interest, Dr Ralph Horwitz has decided not to take up his appointment as a Non-Executive Director of the Board of the Company. "

So read the companys' terse press release.

But what's the story behind the story?

Poor GSK Chairman Sir Christopher Gents' attempts to strengthen GSK's board backfired when it emerged that a leading medical expert who was due to take up a position as a £60,000-a-year non-executive director had helped to compile medical evidence that is being used in litigation against.........GSK!

Ralph Horwitz, Dean of the School of Medicine at Case Western Reserve University, Ohio, was approached to sit on the board in an effort to bolster its medical expertise.

His appointment was approved by Sir Christopher in December, but formal ratification was put on ice after it emerged that Dr Horwitz had worked on a study linking a widely used (including some GSK products) decongestant called phenylpropanolamine (PPL) with strokes.

Ah, truly a conflict of interests! Never mind, Sir Christopher, there must be another candidate out there. Insider can always be contacted at pharmagossip@hotmail.co.uk

Source: The Times