Money News

Taro Pharmaceuticals to pay more than $200 million to settle U.S. price-fixing probe

WASHINGTON (Reuters) - Taro Pharmaceutical agreed to pay more than $200 million to settle allegations that it conspired to fix the prices of generic drugs, the Justice Department said on Thursday.

The company is the fifth pharmaceutical company to admit that it fixed the prices of generic medicines.

Under the terms of a three-year deferred prosecution agreement, Taro will pay $205.7 million and agreed to cooperate in the department’s ongoing investigation, the Justice Department said.

Taro and other companies fixed prices and rigged bids for medications used to prevent and control seizures and treat bipolar disorder, pain and arthritis, and various skin conditions, the Justice Department said.

“We are happy to have reached this global resolution with the DOJ,” said Taro CEO Uday Baldota in a statement. “Taro ...will continue to fully cooperate with the government on its ongoing investigation into the generic pharmaceutical industry.”

Reporting by Diane Bartz and Katanga Johnson; Editing by Chris Reese and Alistair Bell