Thursday, January 15, 2009
Eli Lilly To Pay $1.4 Billion To Settle Zyprexa Suits
Yes, your read right; that's billions, with a B! CNN reports today that Eli Lilly & Co. reached a deal to pay $1.4 billion and plead guilty to a federal misdemeanor charge (violation of the Food, Drug & Cosmetic Act) over promoting an antipsychotic drug to treat dementia when it wasn't approved to do so. The actual fine for the misdemeanor was $515 million, reportedly the largest individual corporate criminal fine in history. An additional $800 million will be used to settle civil charges, with $432 million going to the federal government and up to $362 million to individual states. Thanks to Bill Childs of TortsProf Blog.