SEC Announces Formal Probe of Merck's Vioxx Recall

The SEC has issued Merck a formal notice informing the drugmaker that it is launching a full investigation into the recall of painkiller Vioxx.

Merck revealed in November 2004 that the SEC had begun an informal inquiry into its handling of Vioxx (rofecoxib). That informal probe has now been upgraded to a full-fledged investigation, the company said.

"As previously disclosed, in November 2004 the company was advised by the staff of the [SEC] that it was commencing an informal inquiry concerning Vioxx. Yesterday, the company received notice that the SEC has issued a formal notice of investigation relating to the matter," Merck said.

A Merck spokesman said the action didn't catch the company off-guard. "The SEC action was not unexpected, and the company will continue to cooperate with the SEC," Merck spokesman Tony Plohoros said. An SEC spokesman declined to elaborate on the nature of the expanded probe, saying the agency doesn't comment on ongoing investigations.