DOJ Price Fixing Penalty of $225M for Teva, $30M for Glenmark

The Department of Justice (DOJ) has resolved criminal antitrust charges against Teva Pharmaceuticals and Glenmark Pharmaceuticals for price fixing of critical generic drugs with deferred prosecution agreements, hefty fines, admission that the DOJ’s facts are true and a requirement to divest key lines of business.

“Teva will pay a $225 million criminal penalty — the largest to date for a domestic antitrust cartel — and Glenmark will pay a $30 million criminal penalty,” the DOJ said, adding that both companies will face prosecution if they violate the terms of the agreements.

The companies also must also divest a business line that was central to the misconduct — pravastatin, a drug that treats high cholesterol.

The DOJ agreement also required that Teva donate $50 million worth of clotrimazole and tobramycin, two additional drugs with prices affected by Teva’s criminal schemes, “to humanitarian organizations that provide medication to Americans in need,” the DOJ said. Clotrimazole is used for skin infections and tobramycin is used to treat eye infections and cystic fibrosis.

Read the DOJ deferred prosecution agreement with Teva here.

Read the DOJ deferred prosecution agreement with Glenmark here.

To read the full story, click here to subscribe.

Related Topics