AG says Vermont received $725,000 drug settlement

John O'Brien Feb. 5, 2007, 4:39pm


MONTPELIER, Vt. - Vermont Attorney General William Sorrell said Monday the state received more than $700,000 from an August settlement with Schering-Plough.

The company was charged with illegal marketing practices and pled guilty to one count of conspiracy to make false statements to the government and paid a $180 million fine.

A civil penalty of $255 million was then divvied to the state attorneys general to be put into the state's Medicaid fund.

Sorrell said his state received $725,414.90, of which it will keep $316,110.66. The rest will be given to the federal government.

Schering-Plough was charged with offering a false best price for its drugs Claritin RediTabs, and K-Dur, and for partaking in illegal business practices with the drugs Temodar and Intron A. Schering-Plough was alleged to have offered kickbacks to physicians who prescribed those drugs.

After the settlement was made public in August, the Boston Globe reported that the company had paid approximately $1.3 billion in civil and criminal penalties since 2002 stemming from similar allegations concerning other drugs.

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