Madigan Announces Settlement With Pharmaceutical Distributor Over Allegations Of Selling Adulterated Drugs

CHICAGO (WBBM NEWSRADIO) -- Illinois will be getting part of a settlement from a drug distributor who was alleged to have sold inferior quality cancer drugs.

Attorney General Lisa Madigan announced Wednesday a $625 million settlement with pharmaceutical distributor AmerisourceBergen Corporation (ABC) to settle allegations that the company sold adulterated drugs across the country.

A subsidiary of AmerisourceBergen Corporation pleaded guilty a year ago of misbranding drugs. The settlement resolves allegations that ABC and certain of its subsidiaries improperly sold cancer drugs that were not regulated by the Food and Drug Administration (FDA). ABC allegedly adulterated cancer drugs Aloxi®, Anzemet®, Kytril®, Neupogen®, Procrit®, as well as the generic version of Kytril®. 

“ABC sold the public prescription drugs without proper oversight and in violation of the law,” Madigan said in a statement. “This settlement holds these drug companies accountable for their reckless actions.”

According to the Attorney General's Office, the company would take vials of cancer drugs, pooled them, and then create pre-filled syringes to sell to practitioners. All of this was going on without federal government oversight. Now the pharmaceutical company has agreed to pay out $625 million to 44 states and the federal government. Illinois will receive more than $1 million as part of the settlement. ABC will also pay nearly $100 million to Medicaid programs.