Alaska News

Federal audit clears Blood Bank whistleblower assertions. But a key charge wasn't addressed.

The Blood Bank of Alaska said Wednesday federal auditors found "no validity" in allegations brought against it by whistleblowers, but an accusation that falls under an area not regulated by the Food and Drug Administration was not addressed in the audit.

Bob Scanlon, CEO at Blood Bank of Alaska, said on Wednesday the detailed FDA audit and investigation cleared the blood bank of all allegations in areas the FDA oversees, including assertions the bank was overdrawing blood from donors.

"We were able to achieve a perfect audit score," Scanlon said.

A copy of the FDA report was not available. Scanlon reported on its contents based on conversations he had with FDA officials.

Scanlon said the FDA's inspection did not directly address the assertion by whistleblowers that BBA was exporting blood for a fee to pay for its new 57,000-square foot, $45 million building in Airport Heights, leaving blood supply in Alaska dangerously low.

The assertion is false, Scanlon said. The matter isn't under the authority of the FDA, he said.

The FDA does not specify a minimum inventory of blood BBA or other blood banks must maintain, said Lyndsay Meyer, FDA press officer. She could not confirm or deny if an investigation of the blood bank occurred.

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Scanlon said BBA has successfully met its obligation of providing emergency and routine supplies of blood to hospitals in Alaska for decades. He said blood is sold Outside to other entities to manage inventories as supplies move closer to expiration dates, and only if needs in Alaska are met.   

Scanlon said the audit began at BBA's Airport Heights building when two inspectors showed up announced March 6. It was an audit of "every system and procedure," including observation and interaction with employees, he said.

It lasted until March 14, he said.

"The inspectors evaluated all systems involved with the blood collection, manufacturing, and distribution process," BBA said in a press statement issued Tuesday. "In addition to the standard areas of inspection, the FDA also investigated the allegations" presented in the report to the FDA by the whistleblowers, which includes current and past employees.

Scanlon said FDA told the bank about the successful audit after it ended. Not a single concern was raised, he said.

Scanlon said he has not yet received a written report of the audit, though he expected to get one in the coming days. FDA did not immediately respond to a public records request for the report, sent Wednesday.

Alex DeMarban

Alex DeMarban is a longtime Alaska journalist who covers business, the oil and gas industries and general assignments. Reach him at 907-257-4317 or alex@adn.com.

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