AmerisourceBergen’s Liability in Recent Oncology Drug Case Could Be Just Shy of a Billion Dollars

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Chesterbrook-based AmerisourceBergen is in advanced talks with the Justice Department to settle civil claims over the distribution of its oncology support drugs for $575 million, writes Linda Loyd for the Philadelphia Inquirer.

The company is accused of illegally distributing injectable drugs from a facility that was not registered with the FDA. Between 2001 and 2014, two Alabama-based subsidiaries of AmerisourceBergen shipped millions of syringes prefilled with oncology support care drugs to physicians and medical centers.

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According to the U.S. Attorney’s Office for the Eastern District of New York, the vials were prepared in an unsterile environment, which caused some of them to contain particles not in compliance with quality or purity standards.

AmerisourceBergen pleaded guilty to a criminal charge in the case two months ago, and agreed to pay $260 million in fines. It has also set aside $575 million for the civil case, bringing the company’s total liability to $835 million.

“Medical Initiatives Inc. was licensed and passed all inspections by the Alabama Board of Pharmacy, but the case brought by the U.S. Attorney’s office primarily stems from a lack of registration with the U.S. FDA,” said AmerisourceBergen spokesman Gabe Weissman.

Read more about the settlement in the Philadelphia Inquirer here, and check out previous VISTA Today coverage of AmerisourceBergen here.

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