Eli Lilly agrees to $1.42 billion to settle Zyprexa off-label promotion
January 15, 2009 by admin
Filed under Personal Injury
Eli Lilly announced that they have settled the Zyprexa lawsuits to the tune of $1.42 billion.
The company said Thursday it will pay $615 million to settle a criminal investigation and nearly $800 million — $438 million to the federal government and $362 million available for settlements with states — to resolve civil investigations related to Zyprexa.
As part of the settlement with the Justice Department, Lilly agreed to plead guilty to one misdemeanor violation of the Food, Drug and Cosmetic Act related to the off-label promotion of Zyprexa between 1999 and 2001. The guilty plea says Lilly promoted the drug in elderly people as treatment for dementia, including Alzheimer’s, although the drug isn’t approved for such use.
The company said it disagrees with and doesn’t admit to the allegations, but would settle the dispute. General Counsel Robert A. Armitage noted in October the probe “has been ongoing for five years and we now have a heightened sense of responsibility to all our stakeholders to intensify efforts to resolve these issues.”
- Read full article: Lilly reaches Zyprexa settlement
