Pharmaceutical company to pay NC $1.5 million for fraud - WNCN: News, Weather

Pharmaceutical company to pay NC $1.5 million for fraud

Posted: Updated:
RALEIGH, N.C. -

Endo Pharmaceuticals will pay $1.5 million to North Carolina as part of a settlement to resolve allegations of unlawful marketing, Attorney General Roy Cooper announced Friday in a news release.

"Pushing drugs for unapproved uses means patients get treatments that may not even work and health care dollars get wasted," Cooper said in a statement. "We're going after these illegal marketing tactics to win back taxpayer money."

The funds are part of a $172.9 million dollar settlement with North Carolina, 46 other states, the District of Columbia and the federal government to resolve allegations that Endo engaged in unlawful marketing practices aimed at promoting the drug Lidoderm, the Attorney General's Office said. In addition to the total settlement, Endo will pay a $20.8 million criminal fine to the federal government.

The Attorney General's Office said Endo unlawfully marketed Lidoderm to treat lower back pain or chronic pain between March 1999 and December 2007 even though the Food and Drug Administration had approved the drug only to treat pain associated with shingles. Once the FDA approves a drug as safe and effective, the manufacturer cannot legally market or promote the drug for a different use that is not approved.

North Carolina will receive $1,558,486.86 because Endo's illegal marketing of Lidoderm led to the submission of false and/or fraudulent claims to state health programs, including North Carolina's Medicaid program.

Endo Pharmaceuticals is a subsidiary of Endo Health Solutions, a manufacturer of pharmaceutical products based in Pennsylvania. The lawsuit was filed under the provisions of the federal False Claims Act and related state statutes

Copyright 2014 WNCN. All rights reserved.

  • PoliticsMore>>

  • NC survey shows Hagan with narrow US Senate lead

    NC survey shows Hagan with narrow US Senate lead

    Sen. Kay Hagain (D) and House Speaker Thom Tillis (R)Sen. Kay Hagain (D) and House Speaker Thom Tillis (R)
    A survey of North Carolina likely voters shows Democratic U.S. Sen. Kay Hagan holding a narrow lead over Republican challenger Thom Tillis roughly two months from Election Day.
    A survey of North Carolina likely voters shows Democratic U.S. Sen. Kay Hagan holding a narrow lead over Republican challenger Thom Tillis roughly two months from Election Day.
  • NAACP planning voting rights rally in Wilmington

    NAACP planning voting rights rally in Wilmington

    Monday, September 15 2014 6:59 AM EDT2014-09-15 10:59:45 GMT
    The North Carolina NAACP is planning a rally in Wilmington to call attention to voting rights
    The North Carolina NAACP is planning a rally in Wilmington to call attention to voting rights
  • GOP presidential prospects tout faith in the national anthem

    GOP presidential prospects tout faith in the national anthem

    Sunday, September 14 2014 7:40 PM EDT2014-09-14 23:40:08 GMT
    File PhotoFile Photo
    Two possible Republican presidential candidates are touting the nation's religious heritage as part of a webcast marking the 200th anniversary of the national anthem.
    Two possible Republican presidential candidates are touting the nation's religious heritage as part of a webcast marking the 200th anniversary of the national anthem.
  • North Carolina NewsMore>>

  • Report: NC among states most tied to income tax

    Report: NC among states most tied to income tax

    Monday, September 15 2014 6:59 PM EDT2014-09-15 22:59:31 GMT
    The income gap that's been growing for years increasingly is undermining public treasuries in North Carolina and other states, a new report by the investment rating agency Standard Poor's says.
    The income gap that's been growing for years increasingly is undermining public treasuries in North Carolina and other states, a new report by the investment rating agency Standard Poor's says.
  • NCDOT, environmental group talk on Bonner Bridge

    NCDOT, environmental group talk on Bonner Bridge

    Monday, September 15 2014 6:51 PM EDT2014-09-15 22:51:03 GMT
    File photoFile photo
    The two sides facing off in a dispute over a replacement for the Bonner Bridge says talks are underway to break the impasse.
    The two sides facing off in a dispute over a replacement for the Bonner Bridge says talks are underway to break the impasse.
  • Duke Energy to spend $500M for more solar power

    Duke Energy to spend $500M for more solar power

    File PhotoFile Photo
    The country's largest electricity company plans to spend $500 million to expand its solar electricity use in North Carolina with three generating facilities of its own and power purchased from five others built...
    The country's largest electricity company plans to spend $500 million to expand its solar electricity use in North Carolina with three generating facilities of its own and power purchased from five others built by...
Powered by WorldNow

1205 Front St., Raleigh
N.C., 27609

Telephone: 919.836.1717
Fax: 919.836.1687
Email: newstips@wncn.com

Can't find something?
Powered by WorldNow
All content © Copyright 2000 - 2014 Media General Communications Holdings, LLC. A Media General Company.