24th Jul 2020 15:41
(Alliance News) - Pharmaceuticals firm Indivior PLC on Friday said it will part with USD600 million to resolve criminal charges in the US related to its Suboxone film opioid dependence medication.
Indivior shares surged 59% to 137.60 pence each in London on Friday afternoon.
The company in April 2019 said a grand jury in the Western District of Virginia has issued an indictment of 28 felony counts against the company related to fraud.
The felonies, issued in connection with a federal criminal investigation initiated by the US Department of Justice in 2013, include one count of conspiracy to commit mail, wire and health care fraud; one count of health care fraud; four counts of mail fraud; and 22 counts of wire fraud.
Indivior could have faced USD3 billion in fines related to the matters.
"Indivior Solutions Inc, a wholly-owned subsidiary of Indivior PLC, has pleaded guilty to one count of making a false statement relating to health care matters in 2012," the company said Friday.
"Indivior will make payments to federal and state authorities totaling USD600 million over a period of seven years."
Indivior Solutions will now be excluded from participating in US government health schemes, though this ban will not affect other Indivior subsidiaries.
"We are pleased to achieve this resolution and move forward in a way that provides certainty for our business in respect of this matter and allows us to continue focusing on our important work for patients suffering from opioid use disorder and mental health illnesses around the world," said Indivior Chief Executive Officer Mark Crossley.
"The incident to which the agreement relates occurred well in the past and does not reflect the values Indivior has strived to demonstrate and uphold during our long history of partnering with healthcare providers, policymakers, and communities to fight the opioid crisis."
By Eric Cunha; [email protected]
Copyright 2020 Alliance News Limited. All Rights Reserved.
Related Shares:
Indivior