Reuters logo
UPDATE 1-U.S. judge accepts Abbott misbranding settlement
October 2, 2012 / 7:00 PM / 5 years ago

UPDATE 1-U.S. judge accepts Abbott misbranding settlement

WASHINGTON, Oct 2 (Reuters) - Abbott Laboratories Inc must pay $700 million in fines and other costs for illegal marketing of its drug Depakote, in line with a p reviously announced settlement, the U.S. Justice Department said on Tuesday.

The pharmaceutical maker said in May it would plead guilty to a misdemeanor violation of misbranding and pay $1.6 billion to state and federal authorities.

Abbott marketed Depakote for conditions including depression, anxiety and drug withdrawal while the drug did not have government approval for those uses, prosecutors said.

A federal judge in Virginia sentenced Abbott at a hearing on Tuesday as part of the broader settlement, the Justice department said.

The settlement includes a $500 million criminal fine, $198.5 million in lost profits and a $1.5 million payment to Virginia state officials. Abbott will be on probation for five years.

That is in addition to an $800 million civil settlement with federal and state officials and $100 million to U.S. states to resolve consumer protection matters.

An Abbott spokesman said the company was pleased to resolve the matter.

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below