Valeant cuts ties with pharmacy Philidor "phantom" for use of fake sales

The company's share price has dropped 32% in the two weeks following accusations of an inappropriate relationship the pharmacy Philidor. 

 

In a statement on Friday, Valeant said it would cut all ties with Philidor.

Valeant was accused by investor Citron Research of using Philidor to boost the price of medicine by falsifying sales of certain Valeant products. 

"The newest allegations about activities at Philidor raise additional questions about the company's business practices." said chief executive Michael Pearson in a statement. 

"We know the allegations have also led them to question Valeant and our integrity," he added.

In the statement also announced Philidor will end all its operations as "soon as possible".