The Corporate World - Monday, July 19, 2010 13:10 - 0 Comments

FDA Fines Genzyme For Problems At A Manufacturing Plant

Biotech drug maker Genzyme Corp. has agreed to pay a $175 million penalty to federal regulators in connection with long-standing manufacturing problems that have already cost the company millions. According to the Food and Drug Administration, the company signed a legal agreement to fix problems at an Allston facility that makes injectable biotech drugs. Under terms of the consent decree, Genzyme must map out a plan for overhauling the plant and stick to a preset timetable or face additional fines. The decree also sets a deadline for transferring Genzyme’s operation for filling drug vials to a new manufacturing site. FDA principal deputy commissioner Joshua Sharfstein had this to say:

It is critical for the safety of the drug supply that companies comply with basic manufacturing standards. FDA takes these obligations very seriously and expects manufacturers to do the same.

In June, Genzyme, located in Cambridge, shut down its plant for about three months to clean up viral contamination that had been slowing production of the drugs Cerezyme and Fabrazyme. In November, the FDA found tiny particles of trash in drugs made by Genzyme, including steel, rubber and fiber. The agency recommended that doctors closely inspect vials of four drugs made at the plant: Cerezyme, Fabrazyme, Myozyme and Thyrogen.

Since January, Genzyme has restructured its manufacturing operations, naming a new president of global manufacturing and corporate operations, along with a senior vice president of global product quality. It also contracted manufacturing for some of its key products to Hospira Inc. Prior to the problems with its Allston plant, Genzyme had been doing pretty well in the biotech industry, building a multibillion dollar business around treatments for rare diseases. Cerezyme treats Gaucher disease, an enzyme disorder that can result in liver and neurological problems, while Fabrazyme treats an inherited disorder known as Fabry disease, which is caused by the buildup of a particular type of fat in the body’s cells. Myozyme treats Pompe disease, which interferes with muscle development. Thyrogen is used to diagnose thyroid cancer. My advice to Genzyme is to clean up its plants!

Source: Associated Press