Glenmark Pharmaceuticals Settles USD 25 Million Case with US DOJ

Glenmark Pharmaceuticals agreed to pay USD 25 million to the US Department of Justice as part of a settlement related to the pricing of a generic drug. The payment will be made in six installments over five years, with interest. This concludes a False Claims Act and Anti-Kickback Statute investigation.

Glenmark Pharmaceuticals has agreed to pay USD 25 million as part of a settlement with the US Department of Justice concerning the pricing of a generic drug.

The company's US subsidiary, Glenmark Pharmaceuticals Inc., will make the payment in six installments over five years, with interest at 4.25% per annum starting May 28, 2024, the company announced in a late-night regulatory filing on Wednesday.

The US DOJ's Civil Division concludes its False Claims Act and Anti-Kickback Statute investigation with this settlement, which does not admit any liability except as acknowledged in the August 2023 Deferred Prosecution Agreement, Glenmark added. Shares of the company were up 1.22% at Rs 1,708.25 on the BSE.

(With inputs from agencies.)