AstraZeneca Seroquel Settlement Reached

A settlement has reached with the Department of Justice over AstraZeneca Seroquel investigation and British pharmaceutical business. Seroquel, an anti psychotic medication, has been under fire for being marketed for unapproved purposes. The drug maker has agreed to pay the Department of Justice $ 520 million in restitution. The drug itself, which sold about $ 4.9 billion last year, probably won’t need guaranteed loans to cover the expenses.

AstraZeneca Seroquel was marketed for the wrong purposes

The qualms over AstraZeneca Seroquel were depending on the drug being marketed for purposes other than those it is approved for. The DOJ also alleges there were physician kickbacks of payday cash for prescribing the drug for off-label purposes. The drug is used to treat schizophrenia and certain bi polar diseases. Physicians might prescribe a medication for an off-label use if they deem it appropriate. The FDA considers it a no-no to market pharmaceutical drugs for off label uses.

Uses for Seroquel off label

Part of the investigation is to see whether AstraZeneca Seroquel was marketed for different uses that haven’t been approved for it. According to the Wall Street Journal , AstraZeneca marketed the drug for off label uses, such as to treat Alzheimer's Disease, aggression, post traumatic stress disorder, anxiety and depression. The Justice Departments seems to think that pharmaceutical giant gave kickbacks to physicians for prescribing it for those purposes. AstraZeneca set aside $ 250 million in October for a settlement but denies the claims.

Lawsuits pending

There are a couple of lawsuits against AstraZeneca concerning the side effects of off label use of the drug, Seroquel. Seroquel isn’t the first used for off label purposes; each and every drug has alternate use so it is widespread to use medication for off label purposes. For instance, aspirin works as a blood thinner and typically is used as a pain reliever, but it also is used for treating heart disease. Many physicians prescribe medications for off label uses, and their use is perfectly fine. Unfortunately, numerous physicians prescribe medication for their own purposes involving money when you will find other possibilities available which is very troubling.

So what's the impact?

Since AstraZeneca Seroquel set aside cash for a settlement months ago, nothing will probably come of it. The business probably will comply with federal instructions and will disclose payments to physicians.

Sources

Wall Street Journal

http://online.wsj.com/article/BT-CO-20100427-717519.html?mod=WSJ_World_MIDDLEHeadlinesEurope