Chief Vaccine Scientist Won’t Be Forced To Reveal Drug Stocks


WASHINGTON – The scientist leading the Trump administration’s coronavirus vaccine program will be allowed to remain a government contractor, a decision that allows him to avoid required ethical disclosures from federal employees and maintain his investments in pharmaceutical companies.

Two prominent surveillance groups, as well as some Democrats in Congress, called on the Department of Health and Human Services to demand that the scientist, Dr. Moncef Slaoui, a venture capitalist and a former executive at the pharmaceutical giant GlaxoSmithKline, be governed by the same ethics. rules as federal employees.

The HHS inspector general’s office responded this week that it could not require such a change, citing the unusual role Dr. Slaoui was playing in administration amid the pandemic.

As senior advisor to the vaccine program, called Operation Warp Speed, Dr. Slaoui is working on a contract that pays him $ 1. Under the agreement, he is exempt from federal disclosure rules that would require him to list his external positions, holdings of shares and other possible conflicts of interest.

That deal has alarmed lawmakers, who have accused HHS of helping Dr. Slaoui, an expert in molecular biology and immunology, bypass the usual responsibility that is required of government employees.

The groups that filed the May complaint, Public Citizen and Lower Drug Prices Now, argued that Dr. Slaoui would be classified as a “special government employee,” a label that allows the federal government to hire outside experts for up to 130 days. The title would make it subject to ethical rules that also apply to regular government employees.

The $ 1 contract, the groups said, appears “designed primarily to allow Slaoui to maintain an extensive network of conflicting financial interests without the need to undo, recuse, or disclose those conflicting interests” and “provides Slaoui with an opportunity to enrich himself , your colleagues and your employers. “

In his response to the groups, an official from the inspector general’s office said Dr. Slaoui’s appointment is expected to extend beyond 200 days, well beyond what he said was the “legal time limit applicable “for a special government employee.

The inspector general’s office “is not in a position to determine that the department’s decision was unreasonable when it sought options other than an SGE appointment,” the July 13 letter concluded.

In his role, Dr. Slaoui has a significant influence on the financial commitments made by the government, which has so far provided little information about Warp Speed’s resources, which agencies the funding comes from, or how decisions are made.

“The basic idea that you are in a really privileged position with lots of resources to command and that you have a personal financial stake in the industry is really challenging,” said Margarida Jorge, director of the campaign to lower drug prices now. Everyone can appreciate that Slaoui has experience in vaccine development, but experience and ethics should not be mutually exclusive. ”

A group of Democratic lawmakers, including Senator Elizabeth Warren of Massachusetts, wrote separately last month to Alex M. Azar II, the health secretary, requesting that Dr. Slaoui be appointed as a special government employee. They called Dr. Slaoui’s contract “a final attempt around federal ethical standards.”

Ms. Jorge said her organization and other watchdog groups planned to meet on Wednesday afternoon to discuss new ways to challenge Dr. Slaoui’s status.

The Trump administration has invested nearly $ 4 billion in companies seeking coronavirus vaccines. Last week, HHS announced that the federal government will pay Novavax, a Maryland company that has never released a product to the market, $ 1.6 billion to accelerate the development of a coronavirus vaccine.

Dr. Slaoui spent his first days on the job in May trying to separate parts of his stock portfolio and other ties to pharmaceutical interests. Before working for the Trump administration, he sat on the board of Moderna, a biotech company looking for a coronavirus vaccine. He sold his shares in the company after the value of his stocks skyrocketed after the release of preliminary vaccine trial data.

The Trump administration said at the time that Dr. Slaoui would donate the highest value to cancer research.

In an interview in May, Dr. Slaoui said he was determined to avoid conflict and that he would reevaluate any remaining partnerships if his financial interests could gain more from his new position.

A HHS spokeswoman reiterated Wednesday that Dr. Slaoui has resigned from Moderna’s board and dumped his capital, in addition to leaving the company’s advisory boards “even with the appearance of conflict.”

“HHS ethics officers have determined that Dr. Slaoui’s contractor status, divestment, and board resignations bring him in compliance with our strong department’s ethical standards,” the spokeswoman said.

Shortly after Dr. Slaoui was brought into the Warp Speed ​​Project, his leadership experienced more turmoil, in part due to his properties, according to senior administration officials.

Dr. Peter Marks, a renowned federal scientist who devised and initially oversaw the Warp Speed ​​project at the Food and Drug Administration, departed from his role as its chief vaccine specialist, in part due to concerns about what saw as Dr. Slaoui’s potential. conflicts of interest, officials said. Dr. Marks is the director of the FDA’s Center for Biological Assessment and Research, the office that approves vaccines.