Allergan - Botox

Company: Allergan
Settlement amount: $600 million
Drug: Botox
Year: 2010

Like its bigger rivals that found themselves in off-label trouble, Allergan ($AGN) pled guilty to a misdemeanor violation of the Food, Drug and Cosmetic Act, and paid fines and penalties for pushing a big product for unapproved indications. The wrinkle that sets this case apart? According to the Justice Department, Allergan smoothed the way for physicians to buy into those off-label uses.

Allergan paid doctors $1,500 to sit through presentations about the wrinkle drug's versatility, the government said, and instructed sales reps to help doctors with the paperwork required to get Botox covered for unapproved use. Allergan made off-label sales of Botox "a top corporate priority," the DOJ said.

Allergan submitted to a $375 million criminal penalty, and it agreed to pay $225 million to wrap up civil claims, including three whistleblower lawsuits. Its Corporate Integrity Agreement--like Eli Lilly's ($LLY) and Pfizer's ($PFE), among others--requires the company to report its payments to doctors, including speaking fees and travel, in a publicly available database on its website.

Allergan - Botox

Suggested Articles

Merck CEO Ken Frazier and his colleagues vowed during the company's Investor Day that a healthy pipeline will drive margin expansion.

With the list of 34 drugs, the Chinese government is encouraging drugmakers to copy them under regulator's priority review pathway.

Despite a veritable graveyard of drug prospects in hard-to-treat glioblastoma, Bayer hopes underperforming Stivarga can crack the code in new trials.