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Entries in Pharmaceutical Companies (3)

Thursday
Aug022012

Bristol-Myers Squibb Exec. Busted on Insider Trading

Photodisc/Digital Vision/Thinkstock(NEWARK, N.J.) -- An executive at the pharmaceuticals giant Bristol-Myers Squibb Co. was arrested Thursday for insider trading.

It was part of Robert Ramnarine's job to evaluate potential acquisitions for Bristol Myers Squibb so prosecutors say he had access to inside information.  They also say he traded on it and generated hundreds of thousands of dollars in illicit profits.

And apparently Ramnarine, 45, of East Brunswick, N.J., considered whether what he was doing was illegal.  Court records say he searched on Yahoo terms like "insider trading options trace" and he looked up articles about insider trading violations.

If he's found guilty Ramnarine faces 20 years in prison and a $5 million fine.

Copyright 2012 ABC News Radio

Sunday
Jul312011

Merck to Cut 13,000 Jobs in Restructuring Plan

Hannelore Foerster/Bloomberg via Getty Images(NEW YORK) -- Pharmaceutical giant Merck plans to cut about 13,000 jobs over the next three years as part of a multi-billion dollar restructuring plan.

The company explained that the restructuring is necessary to expand in emerging markets and spend more on research and development.

Administrative jobs are expected to be at the brunt of the cuts.

Copyright 2011 ABC News Radio

Wednesday
Dec082010

Drug Firms Pay $421 Million in Settlement with Justice Department

Photo Courtesy - Getty Images(WASHINGTON) -- The Justice Department announced a $421 million settlement against three pharmaceutical companies on Tuesday for their alleged involvement in a scheme to drastically inflate the price of drugs --sometimes by a whopping 1,000% -- which was reimbursed by Medicare and Medicaid and, ultimately, the U.S. taxpayer.

The settlements were reached in three False Claims Act cases filed against Abbott Laboratories, B. Braun Medical Inc. and Roxane Laboratories.  Both B. Braun and Roxane are U.S. subsidiaries of German pharmaceutical firms.

Under the settlement agreements, Abbott Laboratories agreed to pay $126.5 million in fines, B. Braun Medical agreed to pay $14.7 million, and Roxane will pay $280 million for making Medicare and Medicaid pay the allegedly inflated reimbursements.

The investigation into the companies' activities followed a whistleblower lawsuit filed by Ven-A-Care, a home infusion company based in southern Florida.  A civil complaint against Abbott filed by Ven-A-Care in 2007 noted that Abbott was charging huge mark-ups on the price of their drugs when they sought reimbursement from the government.

Copyright 2010 ABC News Radio







ABC News Radio