King Pharmaceuticals subsidiary pays $42.5 million to settle

by Ben Vernia | March 16th, 2010

The Department of Justice announced on March 16 that Alpharma, Inc., a subsidiary of Bristol, Tennessee-based King Pharmaceuticals, Inc., has paid $42.5 million to settle allegations brought by a whistleblower that it paid health care professionals to prescribe its morphine-derived drug, Kadian. The government also alleged that the company had misrepresented Kadian’s safety and efficacy.

The case was brought by Debra Parks, who will receive $5.33 million of the federal share ($33.6 million), a 15.86% share of the recovery.

The Department of Justice did not announce a Corporate Integrity Agreement, but King Pharmaceuticals was just finishing up the final year of a five-year CIA signed in October, 2005

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