Drugmaker GlaxoSmithKline has agreed to a $3 billion settlement with the United States to resolve investigations of possible price irregularities and the marketing of the diabetes drug Avandia, according to a New York Times report.
The settlement would be the largest yet in federal cases against pharmaceutical companies. The previous record was $2.3 billion, paid by Pfizer in 2009.
Whistleblowers and federal prosecutors say Glaxo paid physicians and manipulated medical research to promote Avandia, which was severely restricted in 2010 after it was linked to heart risks.
Glaxo said the $3 billion would settle the Avandia case, as well as a Justice Department investigation of its Medicaid pricing practices and a nationwide investigation into the sales and marketing of nine drugs from 1997-2004.
A Glaxo spokesperson said it was still negotiating with the government over whether to include a corporate integrity agreement in the settlement.
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The settlement would be the largest yet in federal cases against pharmaceutical companies. The previous record was $2.3 billion, paid by Pfizer in 2009.
Whistleblowers and federal prosecutors say Glaxo paid physicians and manipulated medical research to promote Avandia, which was severely restricted in 2010 after it was linked to heart risks.
Glaxo said the $3 billion would settle the Avandia case, as well as a Justice Department investigation of its Medicaid pricing practices and a nationwide investigation into the sales and marketing of nine drugs from 1997-2004.
A Glaxo spokesperson said it was still negotiating with the government over whether to include a corporate integrity agreement in the settlement.
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