Pharmaceutical Co. Reaches $1.6 Billion Settlement in Depakote Case

(CARSON CITY, Nev.) -- Illinois-based pharmaceutical company Abbott Laboratories has agreed to pay $1.5 billion as part of a global settlement with several states and the federal government following allegations that the company promoted the sale and use of anti-seizure drug Depakote for uses that weren't approved by the Food and Drug Administration as safe and effective.

In a second settlement reached with Attorneys General from 45 states, Abbott Laboratories has agreed to pay out $100 million following allegations that the company was deceptive and misleading in the marketing of Depakote for off-label uses.

Nevada will receive almost $1.4 million as part of the second settlement, according to a statement from Attorney General Catherine Cortez's office.

The investigation and settlement negotiations were conducted by a team appointed by the National Association of Medicaid Fraud Control Units, and made up of representatives from the Offices of the Attorneys General for the states of California, Georgia, Illinois, Massachusetts, Maryland, South Carolina, Ohio and Virginia.

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