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One of the business sites of Google is shown on a computer screen in Encinitas, April 13, 2010.
Credit: Reuters/Mike Blake
Fri Aug 26, 2011 11:33pm EDT
(Reuters) - Justice Department investigators believed that Google Inc's Chief Executive Larry Page knew about improper online pharmacy ads that Google carried, and allowed the ads for years, the Wall Street Journal said.
On Wednesday, Google agreed to pay $500 million to settle a criminal probe into ads it accepted for online Canadian pharmacies selling drugs in the United States.
"Larry Page knew what was going on," Peter Neronha, the Rhode Island U.S. Attorney who led the probe, told the Journal.
Neronha was not immediately available for comment.
Prosecutors found internal emails and documents that, they say, show Page was aware of the allegedly illicit ad sales, the newspaper said.
The Justice Department said earlier this week that the advertisements led to illegal imports of prescription drugs into the country.
The Justice Department contends that Google knew it was potentially violating U.S. law since at least 2003, but didn't take effective action to ban the ads until it mounted an undercover sting operation against the Internet search giant in 2009, the journal said.
"As we've said, we take responsibility for our actions. With hindsight, we shouldn't have allowed these ads on Google in the first place," a spokesperson for Google said in an email.
(Reporting by Anand Basu in Bangalore; editing by Carol Bishopric)
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We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/
Comments (5)
lazerous200 wrote:
Another way to bilk Seniors out of millions by the US Drug market. Why is it that you can buy prescription drugs from Canada at 70% less than you can from the US. Same prescription Meds as sold here at a considerable cost saving. There is definitly something wrong with the system.
Aug 26, 2011 12:17am EDT -- Report as abuse
Ideapete wrote:
So Google gets whacked for complying with NAFTA and someone in the US gov pockets $.5 Billion . We would rather protect a monopoly that gouges people daily than help our fellow citizens. Canada’s drugs unsafe total BS. No wonder our country is in trouble
Aug 27, 2011 8:40am EDT -- Report as abuse
tomwinans wrote:
@ideapete – you do not speak for me and, I suspect many of us. A wrong to do right is wrong nonetheless.
@lazerous200 – agreed re something wrong with the system.
My own view is that Google – while a cool technology company – acts like it can disregard laws and sovereignty to effect its own collective morality. It attempted to do this in China. It attempted to do this with drug ads. It appears to do this with your and my private information as we unthinkingly wander here and there in the great digital ether, or as Google seeks to infiltrate life as it desperately seeks to keep advert-based business models alive long enough to implement other me-too business models. And it appears to think it can take digital IP (books) without permission.
There are problems in the systems that touch our lives. But breaking the law only hurts us more. We need to be responsible and respectful in the ways that we address problems. While some might view this as idealistic, I would vote for trying these ways before concluding there is no other way to reach goals without breaking laws.
Aug 27, 2011 11:00am EDT -- Report as abuse
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