GSK to pay $750M over adulterated drugs

GlaxoSmithKline and its subsidiary SB Pharmco have agreed to pay $750 million to resolve criminal and civil allegations relating to the manufacturing and sale of certain adulterated drugs.

GlaxoSmithKline and its subsidiary SB Pharmco have agreed to pay $750 million to resolve criminal and civil allegations relating to the manufacturing and sale of certain adulterated drugs made at the company's shuttered facility in Cidra, Puerto Rico. According to the Justice Department, it is the fourth largest amount ever paid by a pharmaceutical company to the U.S.

GSK agreed to pay $150 million to settle criminal charges and $600 million in civil penalties, according to U.S. Attorney Carmen Ortiz, the Boston Herald reports. The company allegedly sold 20 drugs with questionable safety made at the Puerto Rico plant. Cheryl Eckard, the company's quality manager, asserts in a whistleblower suit that she warned GSK, which fired her instead of addressing the problems, the New York Times reports. Affected drugs included Avandia, Coreg and Paxil. The plant was closed in 2009 due to declining demand for the medicines made there. GSK no longer owns the facility, according to a