Receive our newsletter – data, insights and analysis delivered to you
  1. Market Data
November 2, 2011

GlaxoSmithKline settles US drug dispute for $3bn

GlaxoSmithKline has agreed to settle disputes with the US Government over the way it marketed and developed its drugs for $3bn.

GlaxoSmithKline has agreed to settle disputes with the US Government over the way it marketed and developed its drugs for $3bn.

The final settlement, which is expected to address civil and criminal liabilities, remains subject to negotiation of specific terms and is expected to be finalised in 2012.

Investigations into GlaxoSmithKline’s sales practices began in 2004 when the US Attorney’s office of Colorado in 2004 inquired about alleged off-label marketing.

Later, the Department of Justice investigated the development and marketing of diabetes drug Avandia, which has been linked to heart disease.

GlaxoSmithKline said in a statement that, since 2008, it has established a new framework for compliance in the US, based on the company’s values, policies and established industry codes of practices.

Commenting on the agreement, GlaxoSmithKline CEO Andrew Witty said, "This is a significant step toward resolving difficult, long-standing matters which do not reflect the company that we are today. In recent years, we have fundamentally changed our procedures for compliance, marketing and selling in the US to ensure that we operate with high standards of integrity and that we conduct our business openly and transparently."

Content from our partners
How Hengst helped to keep Germany’s charity “star singers” shining
Why this global life sciences COO believes relocation to Charleston, SC, was key to achieving next-level success
Patient-centric pharma logistics: How CRYOPDP delivers hope worldwide

Related Companies

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. A weekly roundup of the latest news and analysis, sent every Friday. The pharmaceutical industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU