Glaxo to Pay $750 Million over Tainted and Ineffective Drugs

Thursday, October 28, 2010
GlaxoSmithKline agreed this week to pay the largest fine ever ($150 million) by a drug maker to settle criminal charges of having sold tainted products. The fine was part of a $750 million settlement reached with the U.S. Department of Justice to resolve criminal and civil complaints that Glaxo knowingly marketed contaminated baby ointment and an ineffective antidepressant produced at its plant in Puerto Rico between 2001 and 2005.
 
The legal case began after a company whistleblower, Cheryl Eckard, was fired for trying to warn Glaxo officials about problems with contamination at the Puerto Rican facility. Among the drugs affected were Paxil, an antidepressant; Bactroban, an ointment; Avandia, a troubled diabetes drug; Coreg, a heart drug; and Tagamet, an acid reflux drug.
 
Eckard will receive $96 million from the settlement, one of the highest awards ever given to a whistleblower. Civil penalties comprise another $600 million of the agreement.
-Noel Brinkerhoff
 
Glaxo to Pay $750 Million for Sale of Bad Products (by Gardiner Harris and Duff Wilson, New York Times)
Pfizer to Pay Largest Criminal Fine in History (by David Wallechinsky, AllGov)

Comments

Daniel Haszard 9 years ago
Glaxo whistle-blower gets $96 million. The deal with Zyprexa is that Eli Lilly pleaded guilty to criminal wrongs ("viva Zyprexa" campaign) the Zyprexa saga was rotten through and through. Eight Lilly EMPLOYEES got millions each as supposed informant 'whistle blowers'.Lawyers on BOTH sides got millions and millions......most patient claimants who got sick are 'mentally challenged' and less able to advocate for themselves. The Class action Lawsuits in the US had payouts of $85,000 BUT the lawyers got 45 percent and then the govt got most of the rest for having to take care of the victim/patients medical expenses.Soooo,,,,$85K turned into about $9,000 for Zyprexa claimants many had their food stamps and other state benefits taken away because of their *windfall profit* making them worse off in the end. * Daniel Haszard Zyprexa victim activist and patient who got diabetes from it. http://zyprexa-victims.com

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