Pfizer To Plead Guilty In Rapamune Settlement

November 27th, 2012 by Qui Tam

Pfizer Inc.’s Wyeth Unit plans to plead guilty to a misdemeanor “misbranding” offense under federal law as part of a $491 million settlement of a government investigation of the company’s promotion of the organ-transplant drug Rapamune.  The DOJ has been investigating allegation that Wyeth promoted Rapmune for unauthorized uses and paid kickbacks to doctors.  Under the agreement-in-principle with the DOJ, Pfizer will pay $257 million to resolve the civil allegations and $234 million to resolve the criminal allegations regarding Rapamune.

Pfizer also disclosed that in August 2012, its Wyeth unit agreed to settle a separate government investigation surrounding the promotional practices for its heartburn drug, Protonix.  Wyeth will pay $55 million, plus interest,  in civil disgorgement to the U.S. Federal Food, Drug and Cosmetic Act, but will not admit to any wrongdoing.

For more information, please see:
http://www.nasdaq.com/article/pfizer-to-plead-guilty-in-rapamune-settlement-20121109-00917

Leave a Reply