GlaxoSmithKline to pay $750M over pills

Federal prosecutors in Massachusetts say British drug maker GlaxoSmithKline will pay $750 million US to settle allegations that a subsidiary manufactured and sold adulterated drugs, including the popular antidepressant Paxil.

U.S. Attorney Carmen Ortiz announced on Tuesday that GlaxoSmithKline had agreed to settle civil and criminal charges related to the subsidiary in Puerto Rico.

Ortiz said the London-based company would pay $150 million US in criminal fines and $600 million US in civil penalties.

In 2005, GlaxoSmithKline agreed to fix deficiencies at its now-closed plant in Cidra, Puerto Rico, that allowed tablets of Paxil to split apart before reaching consumers.