A new report from the Institute of Medicine calls for significant reforms to prevent financial conflicts-of-interests in medicine from hindering patient care or the advancement of medical knowledge.

We have long reported on the way the financial arrangements between the medical community and industry influence patient care and research. For example, documents revealed in the course of drug marketing litigation recently revealed that a prominent Harvard psychiatrist promised to deliver positive results to major drug maker Johnson & Johnson before the start of some clinical trials for Risperdal (Risperidone), an atypical antipsychotic medication. In addition, an investigation by Senator Charles Grassley (Republican-Iowa) found that from 2000 through 2007, the same psychiatrist received $1.6 million from the drug maker, with only a fraction of that reported to Harvard. (more…)

Accused Ponzi schemer Arthur Nadel has been formally charged with 15 counts of securities fraud, wire fraud and mail fraud. According to Bloomberg.com, in a federal grand jury indictment unsealed yesterday, prosecutors are also seeking to force Nadel to forfeit $360 million and property.

Arthur Nadel was president of Sarasota-based Scoop Management. The hedge funds managed by Scoop included Viking IRA, Valhalla Investment Partners LP, Viking, Victory, Victory IRA and Scoop Real Estate. Viking IRA, Valhalla and Viking funds were managed by Nadel under contract with his partners, Neil and Chris Moody. Nadel reportedly told his 350 investors that his funds held $360 million, but in truth, they only held around $125,000. (more…)

Irving Picard, the special trustee investigating Bernard Madoff’s bogus financial schemes has found close to $7 million in six Madoff accounts at Bank of New York Mellon Corporation, reports Newsday, citing bankruptcy court papers. According to the article, the accounts range in size from 5,372 to $6.5 million.

Picard is requesting that the newly found funds be transferred for future disbursement to defrauded investors injured in Madoff’s historic $65-billion Ponzi scheme. The new-found money from the Bank of New York accounts brings the estimated total of funds recovered to somewhere between $950 million and $1 billion, said Newsday, and will be used to repay investors duped by Madoff. (more…)

The ongoing Salmonella pistachio recall continues to expand. Setton International Foods, Inc. is again increasing its pistachio product recall to include the following products over concerns related to Salmonella contamination, reports Newsday:

Recalled Retail Packaged Products:

* Fairway brand mixed nuts roasted/salted, 16 ounces; UPC 034325000322; lot codes OR39745 – OR39801; expiration dates 10/20/09 -12/19/09.
* Fairway brand mixed nuts roasted/unsalted, 16 ounces; UPC 034325000438; lot codes OR39770 – OR39850; expiration dates 11/10/09 -1/14/10.
* Fairway brand fancy all natural raw nut mix, 16 ounces; UPC 034325000513; lot codes OR39870, T239897; expiration dates 2/23/10 – 3/23/10.
* Corrado’s brand mixed nuts roasted/unsalted, 14 ounces; UPC 021005008785; lot code OR39781.
* Setton Farms brand mixed nuts with peanuts roasted/salted, 9-ounces; UPC 034325009165; lot codes OR39818 -OR39850, T239777, T339889; expiration dates: 11/17/09 – 3/17/10.
* Corrado’s brand mixed nuts roasted/salted, 14 ounces; UPC 021005008792; lot codes OR39755-OR39792; expiration dates 10/27/09 – 12/10/09.
* Setton Farms brand Nature’s Perfect Snack Nature’s Finest Mix, 16 ounces; UPC 034325078635; lot codes T239771; expiration dates: 11/3/09 – 2/13/10.
* Setton Farms brand Nature’s Finest Mix, 24 ounces; UPC 034325011397; lot code T239799; expiration dates 10/16/09 – 3/19/10.
* Setton Farms brand Nature’s Perfect Snack mixed nuts roasted/salted, 16 ounces; UPC 034325078628; lot code T339749; expiration date 10/20/09.
* Setton Farms brand Heart Healthy mix, 24 ounces; UPC 034325042889; lot code T139792; expiration dates 11/18/09 -3/3/10.
* Setton Farms brand super fancy mixed nuts roasted/salted, 9 ounces; UPC 034325009172; lot code SA39752; expiration date 10/30/09.
* Setton Farms brand All Natural Nature’s Finest Health Mix, 9 ounces; UPC 034325014251; lot code T139772; expiration date: 11/19/09.
* Setton Farms brand pistachios roasted/salted & roasted/unsalted (regular & Passover), 5-pound craft bag; UPC 034325010062; lot codes OR39738-OR39884, BK39738-BK39884, T39701-T39896; expiration dates 9/10/09 – 3/24/10.
* Setton Farms brand pistachios roasted/salted & roasted/unsalted (regular & Passover), 2-pound craft bag; UPC 034325010840; lot codes OR39701-OR39889, BK39701-BK39889, T39701-T39896; expiration dates 9/10/09 – 3/24/10.
* Setton Farms brand pistachios roasted/salted & roasted/unsalted (regular & Passover), 1-pound craft bag; UPC 034325010956; lot codes BK39701-BK39889, OR39701-OR39889, T39701-T39896; expiration dates 9/10/09 – 3/24/10. (more…)

The makers of over-the-counter (OTC) pain medications and fever reducers have been told by federal regulators to include new warnings on their labels about potential side effects, including stomach bleeding and liver damage. According to a Food & Drug Administration (FDA) statement, the new warnings will be required on OTC versions of acetaminophen and NSAIDs.

“Acetaminophen and NSAIDs are commonly used drugs for both children and adults because they are effective in reducing fevers and relieving minor aches and pain, such as headaches and muscle aches, “ Charles Ganley, M.D., director, FDA’s Office of Nonprescription Drugs in the Center for Drug Evaluation and Research, said in the agency’s statement. “However, the risks associated with their use, need to be clearly identified on the label so that consumers taking these drugs are fully aware of the potential harm they can cause. It is important that they know how to take these medications safely to reduce their risk.” (more…)

The U.S. Consumer Product Safety Commission (CPSC) has just issued new guidelines for lead in paint. The Web site Playthings reported that the new standards involve testing protocols for paint and some painted products that verify lead limits on toys and children’s products. The definition of lead standards is contained in the Consumer Product Safety Improvement Act (CPSIA) and includes Toy Industry Association (TIA) recommendations.

The TIA said the new standards include composite testing for like and different toy parts and are based on a recommendation last month that was submitted by its Laboratory Testing Technical Working Group, said Playthings. The standards indicate that “composite testing for like parts is appropriate and, in some instances, may be necessary to obtain valid analytical results,” explained Playthings. Also, Playthings noted, adding that the protocol also “supports composite testing for different parts,” pointing out that testing must be conducted in order to ensure that the samples being tested “are not diluted to the point that excessive lead in a single paint would not be detected.” (more…)

Lennar Homes is moving Florida families out of homes built with tainted Chinese drywall. According to a report on abcactionnews.com the builder is planning to gut the homes and replace the defective material.

Chinese drywall has been causing problems in newer homes across the country. The material reportedly emits sulfur fumes that fill homes with a “rotten eggs” odor. The fumes from the drywall have also been linked to corroding metals in many of the homes, and people living with the material have reported sinus and respiratory problems. Many residents have had to leave their homes because the Chinese drywall has made them unlivable, and some builders are scrambling to gut homes and replace the drywall. (more…)

The Labor Department is finally making plans to suggest new rules aimed both at limiting exposure to the chemical diacetyl and preventing industrial dust accidents, the Associated Press (AP) is reporting. Diacetyl is the chemical that gives food—specifically, microwave popcorn—a buttery flavor and which has been linked to severe lung disease. In February 2008, an explosion at an Imperial Sugar Company plant in Georgia that left many dead and injured was blamed on highly combustible industrial dust.

Labor Secretary Hilda Solis is expected to announce details about the plan today and is following up on a promise to increase OSHA (Occupational Safety and Health Administration) enforcement and develop safety rules where the Bush administration failed, said the AP. Solis is credited, said the AP, for working to stop an eleventh-hour Bush Administration move to delay setting diacetyl exposure limits for workers. (more…)

The U.S. Food and Drug Administration (FDA) has long been concerned about misleading drug marketing campaigns. Now, reports MainStreet.com, some online drug ads do not meet advertising requirements and agency regulations. GlaxoSmithKline, Pfizer, Merck, and Eli Lilly are among the 14 drug makers told by the FDA their ads are not in compliance.

Some ads were yanked, said MainStreet.com, with replacements that do not mention drug brand names. Citing an FDA letter to one firm, the ads—which Google limits to 95 characters—“misbrand” the drugs and “fail to communicate any risk information associated with the use of these drugs,” reported MainStreet.com. To comply, such marketing must include risk and benefit information. When risk information is omitted, drugs appear safer and more effective, noted MainStreet.com, citing the FDA. (more…)

In the ongoing Bernard Madoff Ponzi scheme debacle, some new arrangements might be in the works. It seems that Madoff’s top deputy is looking to negotiate a plea deal with federal prosecutors. Frank DiPascali, a Madoff employee for over three decades, said he would give government prosecutors details of Madoff’s historic Ponzi scheme in exchange for a reduced sentence, reported the Post Chronicle, citing Fortune magazine.

According to the news outlets, DiPascali is allegedly agreeing to testify he “manipulated” bogus returns for some key Madoff investors. The Post Chronicle pointed out that if the allegations are determined valid, then that means the investors involved would have known their returns were falsified. According to Fortune, DiPascali is said to be open to naming names. (more…)