Roundup: Drug Manufacturer Agrees to $500 Million Penalty; Kennametal Acquires Tungsten Supplier in Bolivia; More
Drug manufacturer agrees to $500M penalty
A subsidiary of an Indian pharmaceutical company has agreed to pay $500 million fines and civil penalties for selling adulterated drugs and lying about tests to federal regulators, the Justice Department said on Monday. The guilty plea by Ranbaxy USA Inc. represents the largest financial penalty by a generic drug company for violations of the federal Food, Drug and Cosmetic Act, which prohibits the sale of impure drugs, prosecutors said. Ranbaxy, a subsidiary of Ranbaxy Laboratories Limited, admitted that it made and sold impure drugs at two manufacturing sites in India. The batches of adulterated drugs included generic versions of an antibiotic and other medications used to treat severe acne, epilepsy and nerve pain. The company agreed to a fine and forfeiture of $150 million, as well as a $350 million penalty to settle civil claims that it submitted false statements to Medicaid, Medicare and other government health care programs.
Kennametal to acquire Bolivian firm
Kennametal Inc., said on Monday that it agreed to acquire the assets and certain entities of a Bolivian supplier of tungsten ore materials. Comercializadora Emura S.R.L., based in La Paz, has long supplied the Unity-based company with the materials, which it uses to produce composite alloys and high-performance cutting tools for rugged earthworks applications. Terms of the deal, which is expected to close in July, were not disclosed. The acquisition is meant to increase Kennametal's efforts to diversify its sources of tungsten to balance supplies, costs and access to raw materials.
Bayer Airship to tour world
Bayer AG, the parent of Bayer Corp. in Robinson, has built an airship to tour the world as part of its yearlong 150th anniversary celebration. But the airship won't visit the Pittsburgh region, where it has about 2,300 employees, the largest of all 50 Bayer sites in the United States. The Bayer Airship's visit begins on Thursday for eight days, making stops in New York and New Jersey, according to a Bayer statement. All 50 sites are important to Bayer, but because of time and logistics, the airship is only able to make one stop in North Amercia, Bayer said. During the visit, the airship will fly near the Statue of Liberty and visit the future home of Bayer's Healthcare unit in Whippany, N.J. Its tour began on Feb. 28 in Leverkusen, Germany, Bayer AG's headquarters city.
Walgreen extends CVS agreement
Drugstore chain Walgreen Co. has extended its agreement to fill prescriptions for CVS Caremark Corp., which runs one of the nation's largest pharmacy benefit management businesses. The deal means customers with prescription drug benefits managed by CVS Caremark can have their prescriptions filled at stores operated by Deerfield, Ill.-based Walgreen, the nation's largest drugstore chain. CVS Caremark runs the nation's second-largest drugstore chain, in addition to its pharmacy benefits management, or PBM, business.
Other business news
- A StonePepper's Grill at Settlers Ridge in Robinson filed for Chapter 11 bankruptcy protection on Monday, an attorney for the restaurant said. …