Ranbaxy to pay record fine in US
The United States subsidiary of India's top drugmaker Ranbaxy Laboratories is to pay a record fine in the US after pleading guilty to criminal charges relating to drug safety. The civil and criminal charges total US $500 million – the largest-ever fine to be handed to a generic drugmaker.
The now-concluded investigation relates to conduct that occurred over several years. Ranbaxy USA pleaded guilty to three felony counts related to the manufacture of drugs at two Indian locations that did not meet safety standards and to four counts of making material false statements.
During this period, Ranbaxy, which is majority-owned by Japan's Daiichi Sankyo Co Ltd, stopped selling drugs to the US markets while it fixed the manufacturing procedure issues in the US and India.
"Today's announcement marks the resolution of this past issue. While we are disappointed by the conduct of the past that led to this investigation, we strongly believe that settling this matter now is in the best interest of all of Ranbaxy's stakeholders; the conclusion of the DOJ investigation does not materially impact our current financial situation or performance. Ranbaxy has successfully launched several generic products recently and is well-positioned for future growth in the U.S. and around the world with a robust pipeline of important products as it continues to build a strong global portfolio of branded and generic prescription and OTC pharmaceuticals. Our conduct is guided by our philosophy of 'Quality and Patients First.'"
Mr. Arun Sawhney, CEO & Managing Director, Ranbaxy said in a statement issued by the company on May 13th, 2013.
Related news:
Ranbaxy pleads guilty, to pay $500 mln in US settlement (Reuters)
Indian drugmaker Ranbaxy to pay record fine in the US (BBC)
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