Pharmaceutical company, Johnson & Johnson, has agreed to pay the U.S. more than $1 billion in order to settle the civil investigation into the company’s marketing practices of its popular antipsychotic, Risperdal. News of the long-awaited settlement arrives courtesy of sources from Bloomberg News.
J&J, one of the world’s largest makers and distributors of health products, reportedly reached an agreement with the U.S. Attorney in Philadelphia over the civil charges last week. However, talks of a criminal plea are still ongoing.
A $1 billion settlement over Risperdal would equate to approximately 31 percent of J&J’s peak sales. Federal prosecutors have been investigating J&J’s sales and marketing practices for Risperdal since 2004, including the allegations that J&J marketing Risperdal for unapproved uses.
(Source: Bloomberg News)