Kelly Nguyen

Counterfeit Pharmaceuticals Harm Millions Worldwide

The World Health Organization (WHO) estimates that counterfeit pharmaceuticals kill more than a million people each year and that ten percent of medications in low- and middle-income countries are either substandard or fake. Human lives are not the only cost. The problem of overall counterfeit goods is a $1.8 trillion USD issue annually. The rising popularity of online pharmacies has only made the problem worse. And medication non-adherence—patients using medication improperly—results in an additional 125,000 deaths in the United States and financial losses of $300 billion USD each year.

When Dr. Kelly Nguyen learned how many people were suffering, especially in the most impoverished nations with the fewest consumer protection laws, she says, “I began thinking, what should we do about this? The million lives lost really struck me because I didn’t realize how many lives were affected.” She recalls a particularly heartbreaking story she heard about a woman who saved all her money to buy medication for her sick child. The mother was able to purchase the medication but the child died anyway because the drugs were counterfeit. Although Kelly herself is a pharmacist and owns her own specialty pharmacy, she hadn’t understood the scope of the problem.

Medicine, Cyber Security, and Pharmaceutical Intelligence Team Up

Kelly combined her pharmaceutical background with the know-how of cyber security expert Duc Pham to found DrKumo Inc. (previously IDLogiq) in 2017. “Existing drug counterfeiting methods are retroactive,” she explains. A 3D hologram or special packaging might appear legitimate, but advanced counterfeiters can fool consumers with skilled imitations, even making the pills appear authentic. Only after a tragedy such as a patient death or widespread adverse reactions do scientists test suspect drugs. By then, it’s too late.

With DrKumo Inc.’s deep encryption software and pharmaceutical knowledge base, patients scan a medication’s 2D barcode or NFC (near-field communication) label with a smart phone to instantly determine its legitimacy. DrKumo Inc. integrates anti-counterfeiting and medication management in the DrKumo Inc. app and also provides medication alerts, notifications, instructions, and medication management. “Empowering the patient to proactively authenticate a product before ingesting or swallowing with a simple scan is our unique value, but we do not stop there. With our strong healthcare professional knowledge, we enable patients to manage their medication with the same scan,” Kelly says. “It’s really important to me that our product is patient-centric and very easy to use.”

The opportunities Kelly found in the United States after escaping Vietnam as a child in the 1980s continue to motivate her. “I was very fortunate to come to the U.S. with my father,” Kelly says. “He raised me single-handedly and always encouraged me to work hard. I was one of those boat people… My childhood years and personal journey have everything to do with what I am doing now. I am so blessed. I could have died in the ocean. But I made it through.”

Democratizing the Process of Authentication

Given the danger of ingesting a tainted pill or relying on an antibiotic that contains no active ingredients, the potential for DrKumo Inc. to change individuals’ lives for the better is enormous, especially in places like sub-Saharan Africa. Because the solution doesn’t require WiFi, people can authenticate a drug using only a cell phone. “Patients have a say and have ways to safeguard themselves. We help patients to know the medications they are purchasing before they swallow.”

Going Beyond Pharmaceuticals

The company is expanding beyond the pharmaceutical arena to tackle the issues of medication adherence and compliance. And it is entering other industries, from food to luxury goods, with similar counterfeiting issues. “There is so much to be done,” Kelly says. “Whatever little I can do to pay back… I cannot rest until I do it.”