GlaxoSmithKline Settle in Face of Allegations of Knowingly Selling Adulterated Drugs for $750 Million


November 16, 2010

GlaxoSmithKline, the large British pharmaceutical company, has settled claims that the company knowingly sold contaminated and ineffective drugs. The case is an example of the growing influence of whistleblower actions brought by those who report wrongdoing within a company. The drugs at issue included Paxil, an anti-depressant; Bactroban, an ointment; Avandia, a diabetes drug already linked to problems; Coreg, a heart drug; and Tagamet, which is for acid reflux.

The former quality manager for GlaxoSmithKline claimed that the company fired her when she brought problems with the drugs to the attention of higher management. This case is one of many that are part of a wave of whistleblower lawsuits brought against drug manufacturers.

Whistleblower actions allow a person who has knowledge of conduct that is defrauding the government of public funds to initiate a lawsuit and/or provide information to recover the public money that has been misappropriated. Drug companies and medical professionals who defraud Medicare and Medicaid are increasingly targets of such actions. The settlement in this case included a $150 million payment to settle the criminal charges, which is the largest ever whistleblower settlement against a maker of adulterated drugs. The total recovery included another $600 million in civil penalties. Federal and State whistleblower statutes provide for compensating a whistleblower that exposes such fraud with a percentage of the total financial recovery. The whistleblower in the GlaxoSmithKline case will receive $96 million.

At Montlick and Associates, Attorneys at Law, we represent clients who have knowledge that companies or individuals are wasting public funds. When a drug company submits fraudulent claims to Medicare or Medicaid, it impacts all taxpayers, as it is the money we pay in taxes that is being wasted. If you are aware of a business or individual that is defrauding the government, we can represent you in bringing a legal action and exposing the fraud.

If you are aware of criminal fraudulent conduct against the government, our Georgia whistleblower lawyers can help. We are available to assist clients throughout all of Georgia, including but not limited to Albany, Athens, Atlanta, Augusta, Columbus, Dalton, Gainesville, Macon, Marietta, Rome, Roswell, Savannah, Smyrna, Valdosta, Warner Robins and all smaller cities and rural areas in the state. Call us today for your free consultation at 1-800-LAW-NEED (1-800-529-6333), or visit us on the web at www.montlick.com. No matter where you are in Georgia, we are just a phone call away, and we will even come to you.

Category: Personal Injury

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