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July 12, 1941


JAMA. 1941;117(2):112. doi:10.1001/jama.1941.02820280034009

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In 1923 the governors of the University of Toronto acquired patents to control the manufacture and sale of extract of the pancreas containing the active principle insulin. Subsequently, four manufacturers were licensed to make and market this important drug in the United States. At least one other concern entered into negotiations for the right to place the article on the market, but for reasons which are not known it remained out of the business. In 1939 one of the four original licensees discontinued manufacturing preparations of insulin, allegedly because the business in this item was no longer profitable under the existing conditions.

In March 1941 the Department of Justice charged the three manufacturers of insulin in the United States with price fixing in violation of the Sherman Act. This action was terminated by pleas of nolo contendere, and large fines were levied against the concerns and their principal officers. Judging

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