MADISON, WI (WTAQ) - Wisconsin will get almost $10 million from the settlement of a national lawsuit over alleged illegal marketing practices by the drugmaker GlaxoSmithKline.
State Attorney General J.B. Van Hollen said Monday that the firm is paying over $3 billion dollars to settle legal actions filed by the federal government and a number of states.
Wisconsin had accused GlaxoSmithKline of defrauding the state’s Medicaid and other public health programs. And the firm said it would plead guilty to criminal charges involving illegal drug labeling and violations of federal reporting practices.
The criminal fine is $1 billion, and the civil penalties total $2 billion nationwide.
GlaxoSmithKline was accused of marketing drugs for uses that were not approved – making false claims about the safety of some medications – offering kickbacks to doctors for prescribing certain drugs – and not paying enough in rebates owed to government programs for various medicines.