Senator Grassley Asks AMA, Other Groups About Financial Ties to Industry

Sen. Charles Grassley (R-Iowa) is asking the AMA and several other non-profit healthcare organizations to reveal funding from pharmaceutical, medical device companies or the insurance industry, according to a letter Sen. Grassley sent the AMA.

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The AMA said it would honor Sen. Grassley’s request and reported that less than 2 percent of its funding comes from industry donations.

Following an outcry from members 12 years ago, the AMA cancelled an agreement with the Sunbeam Corp. under which it would have endorsed Sunbeam products in return for payments. In 1998, the AMA paid Sunbeam $9.9 million to settle a breach-of-contract lawsuit.

Other organizations, however, still have industry ties. When Sen. Grassley requested industry donation data from the National Alliance on Mental Illness earlier this year, NAMI revealed that two-thirds of its budget came from industry sources, prompting a NAMI board member to resign in protest.

Read Sen. Grassley’s letter to the AMA (pdf).

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