GlaxoSmithKline agrees to plead guilty, pay $3B settlement

Published on July 4, 2012 Drugmaker GlaxoSmithKline has agreed to plead guilty to fraud charges and pay $3 billion in total -- with some money going to nearly every state -- for promoting its bestselling antidepressants such as Paxil and Wellbutrin for unapproved uses, failing to report safety data about a top diabetes drug and improperly marketing other drugs. The New York Times: Glaxo Agrees To Pay $3 Billion In Fraud Settlement In the largest settlement involving a pharmaceutical company, the British drugmaker GlaxoSmithKline agreed to plead guilty to criminal charges and pay $3 billion in fines for promoting its best-selling antidepressants for unapproved uses and failing to report safety data about a top diabetes drug, federal prosecutors announced Monday. The agreement also includes civil penalties for improper marketing of a half-dozen other drugs (Thomas and Schmidt, 7/2). Los Angeles Times: GlaxoSmithKline To Pay $3 Billion Health Care Fraud Settlement, U.S. Says Pharmaceutical drug maker GlaxoSmithKline will pay $3 billion and plead guilty to federal charges to resolve a slew of criminal and civil issues stemming from its use of kickbacks, mis-branding and other misconduct to market drugs such as Paxil, Wellbutrin and Advair, the U.S. government announced. The agreement is the largest health care fraud settlement in history, spanning nearly every state, according to the Justice Department. It's also the largest payment ever by a drug company (Hsu, 7/2). The Wall Street Journal: Glaxo In $3 Billion Settlement Drug maker GlaxoSmithKline PLC agreed to plead guilty to criminal charges of illegally marketing drugs and withholding safety data from U.S. regulators, and to pay $3 billion to the government in what the Justice Department called the largest health care fraud settlement in U.S. history (Whalen, Barrett and Loftus, 7/2). NPR: Glaxo To Plead Guilty To 3 Charges In Sweeping Health Settlement The British drugmaker has agreed to pay $3 billion and will plead guilty to three misdemeanor criminal charges related to its unlawful marketing of two antidepressants -- Paxil and Wellbutrin -- and failure to provide the Food and Drug Administration with required information about studies that could have shed light on safety problems with the diabetes pill Avandia (Hensley, 7/2). Market Watch: Glaxo To Pay $3 Bln To Settle Health-Fraud Charges U.K. pharmaceutical titan GlaxoSmithKline PLC has agreed to pay a total of $3 billion to settle various federal and state probes related to the marketing of several of its best-known medications, the Justice Department said Monday. Under the deal, Glaxo will pay roughly $1 billion to settle criminal charges related to its marketing of the psychiatric drugs Paxil and Wellbutrin, and the diabetes drug Avandia. Prosecutors had accused Glaxo of promoting Paxil and Wellbutrin for the treatment of conditions for which they were not formally approved, and of withholding important safety information about Avandia to regulators (Kennedy, 7/2). Denver Post: Colorado To Receive $4.5 Million In Settlement With GlaxoSmithKline Pharmaceutical manufacturer GlaxoSmithKline agreed to pay $3 billion to settle government charges that it illegally promoted and priced several popular prescription drugs, the U.S. Justice Department said Monday. The settlement of criminal and civil cases against GSK is the largest in U.S. history and the largest payment ever by a drug company. Colorado, where some of GSK's violations came to light, stands to receive more than $4.5 million from the company, the state Attorney General's office said (Keller, 7/2).