February 2, 2005 - NIH to Ban Profitable Outside Activities by Employees

Noting recent reports of profitable connections with pharmaceutical companies and other organizations by scientists who work for the National Institutes of Health (NIH), the agency announced February 1 that it will issue regulations banning such outside activities as consulting, as well as financial holdings and awards, for all NIH employees. Under the new rules, NIH employees will be prohibited from engaging in outside employment with "substantially affected organizations," including pharmaceutical and biotechnology companies; supported research organizations (including NIH grantees); health care providers and insurers; and related trade, professional, or similar organizations. Financial investments in organizations "substantially affected by NIH" will also be restricted. NIH scientists will continue to be able to conduct academic activities such as teaching college courses, writing textbooks, performing scientific journal reviews, participating in scientific meetings, and providing general lectures to physicians and scientists at continuing professional education seminars and similar events, provided that such participation "adheres strictly to the conditions specified in the new rules." The new regulations will be published in the Federal Register within the next few days and will become effective immediately, the NIH said.