Core Viewpoint - The leading company in anorectal medication, Mayinglong (600993.SH), is embroiled in a controversy regarding the circulation of returned drugs, which poses significant safety risks and highlights issues in the drug procurement and sales practices of some medical institutions [2][3]. Company Summary - Mayinglong has not yet disclosed information regarding the ongoing investigation as of March 31 [3]. - The two involved stores, 彭刘杨路店 and 惠济路店, are subsidiaries of Mayinglong and are cooperating with the investigation [3]. - The Wuhan Medical Insurance Bureau has terminated the medical insurance service agreements for these stores due to violations of the service agreement [3]. - Mayinglong, established in 1582, is a well-known brand in anorectal medication, with its business encompassing pharmaceutical manufacturing, medical services, and pharmaceutical commerce [3]. - The pharmaceutical manufacturing segment includes products like 马应龙麝香痔疮膏 and 马应龙八宝眼膏, while the medical services include a chain of anorectal hospitals and diagnostic centers [3]. Industry Summary - According to the Ministry of Commerce's report, Mayinglong's pharmacy ranked 64th in the national retail pharmacy top 100 with sales of 535 million yuan in 2023, accounting for approximately 17% of the company's total revenue of 3.137 billion yuan [4]. - There is a concerning trend of advertisements for "cash for insurance" and "high-priced drug buybacks" near public hospitals in Wuhan, indicating a broader issue of returned drug circulation [4]. - The return drug industry chain is highlighted by the practice where insured individuals purchase drugs at a subsidized cost and sell them back at a significant discount, leading to a profit for the resellers [5][6].