Big pharma ties raise conflict of interest concerns for GOP's Prasanth Reddy

U.S. House candidate Prasanth Reddy has taken large sums of money from the pharmaceutical industry throughout his career. Some of these companies have tried to block legislation aimed at lowering prescription drug costs. 

Reddy, a Republican, is challenging incumbent Democratic Rep. Sharice Davids in Kansas’ third district. Prior to running for office, Reddy was a doctor specializing in internal medicine.

The Centers for Medicare & Medicaid Services, which tracks financial contributions to medical providers, reports that Reddy received more than $78,000 from various drug and medical device companies between 2016 and 2021. The payments included $64,246 in cash equivalents and $14,362 for in-kind services. A majority of the contributions came from Merck & Co.

It is common for doctors to receive these kinds of payments. Pharmaceutical companies will pay physicians for consulting services, speaking engagements, and research. Studies have found that doctors who receive these payments are more likely to prescribe brand-name drugs and products from the companies that compensate them.

Despite the ubiquity of this practice, the payments raise questions about potential conflicts of interest if Reddy is elected to Congress.

According to Reddy’s personal financial disclosures, he has up to $651,000 invested in four separate drug and lab science companies. That includes up to $50,000 in Merck & Co and up to another $1000 invested in Organon & Co OGN, a Merck & Co subsidiary.

In 2023, Merck & Co sued the Biden administration in a bid to strip Medicare of the ability to negotiate lower drug costs for seniors. Medicare was empowered to do this by the 2022 Inflation Reduction Act, a bill that passed Congress with zero Republican votes. The bill also capped out-of-pocket insulin costs for many Medicare recipients at $35 a month.

Reddy’s campaign has also accepted more than $400,000 in donations from groups affiliated with lawmakers who opposed the Inflation Reduction Act. Nearly $213,000 of this total came from Grow The Majority, a political action committee run by House Speaker Mike Johnson.

Davids supported the Inflation Reduction Act. 

A Reddy spokesperson did not respond to request for comment for this story.