Marijuana Growers' Payments To Doctors

Article content Government-licensed medical marijuana producers should avoid making “inappropriate” payments to individuals or groups, Health Canada has warned just days after allegations surfaced that some doctors are getting kickbacks from the companies.

Article content As producers battle amongst themselves over who holds the moral high ground in the fledgling cannabis industry, the government is insisting that all the companies act with integrity.

Health Canada condemns marijuana growers' payments to doctors Back to video

“Health Canada expects licensed producers … to be honest and ethical in how they conduct their business and act professionally and in good faith,” the department declares in a bulletin issued earlier this week.

“They should also take care to avoid any situation that could compromise the health and safety of patients; for example (by) giving or offering inappropriate direct or indirect payments or inducements to any individual organization.”

Physicians write what are in effect prescriptions for medical marijuana, which people then use to obtain pot from one of several approved growers. Patients and certain producers say some doctors, clinics and related groups push patients toward specific companies.

Article content Those physicians and clinics also request and sometimes receive payment from the firms of up to $350 per prescription, according to evidence that includes emails and invoices disclosed by Tilray, one of the producers.

The B.C. company has called the payments “kickbacks” as it conducts a media offensive to try to set itself apart from competitors. Another firm that admits to making payments to clinics, however, says the money helps support the few health-care facilities willing to prescribe medical marijuana.

Medical regulators say physicians should not be receiving payments of any kind from marijuana companies.

After the kickback allegations were reported by the National Post, Health Canada said it was concerned with the reports. Now it says the producers it regulates must act ethically, as well as follow the safety and security rules set out in leglislation.

Article content Tilray recently pulled out of the Canadian Medical Cannabis Industry Association, saying the trade group had refused to adopt a code of ethics that would bar kickbacks or other payments to health-care providers.

But Neil Belot, a spokesman for the association, said Friday it already opposes such payments and would take action against any member that violated the policy.

“As of right now, all we have is one licensed producer whose membership with CMCIA has not been in good standing for several months, spouting off with broad-sweeping allegations,” he said. It is “an apparent attempt to promote their own company at the expense of their colleagues, fellow licensed producers, physicians, and patients.”