Drug Discovery and Development

  • Home Drug Discovery and Development
  • Drug Discovery
  • Women in Pharma and Biotech
  • Oncology
  • Neurological Disease
  • Infectious Disease
  • Resources
    • Video features
    • Podcast
    • Voices
    • Webinars
  • Pharma 50
    • 2025 Pharma 50
    • 2024 Pharma 50
    • 2023 Pharma 50
    • 2022 Pharma 50
    • 2021 Pharma 50
  • Advertise
  • SUBSCRIBE

Mississippi Settles Zyprexa Suit for $18.5M

By Drug Discovery Trends Editor | February 8, 2010

JACKSON, Miss. (AP) – Mississippi will receive $18.5 million from drug maker Eli Lilly and Co. as part of a settlement over claims the company promoted the anti-psychotic Zyprexa for ailments it was not federally approved to treat, Attorney General Jim Hood said Thursday.

The settlement recovers money the state spent through its Division of Medicaid and the State Insurance Plan, Hood said. The company also will pay $3.7 million in legal fees for the state.

Mississippi is one of 13 states that sued over Zyprexa. Eli Lilly spokeswoman Marni Lemons said settlements have been reached in seven others – Alaska, West Virginia, Connecticut, New Mexico, Idaho, Utah and South Carolina. Suits in Montana, Minnesota, Louisiana, Arkansas and Pennsylvania are still pending, she said.

The company paid a $1.4 billion settlement to the federal government in January 2009 after admitting it had promoted Zyprexa in elderly populations for treatment of dementia between 1999 and 2001.

Hood said Zyprexa was approved by the Federal Drug Administration for “major psychotic problems,” but he said the company hired representatives who promoted the drug to physicians for use for any kind of depression.

“Unfortunately, the studies later found that the drug could cause diabetes so it did more harm than good,” Hood said.

Lemons said there was no scientific proof Zyprexa causes diabetes. The company has not admitted any wrongdoing in the Mississippi settlement.

Under the agreement, the company cannot make any claim about Zyprexa that is false, misleading or deceptive and the drug cannot be promoted for off-label uses, Hood said.

The settlement money will go into Mississippi’s general fund and comes at a time when the state’s revenue collections are projected to be far below estimates for the current fiscal year. Gov. Haley Barbour already has cut $437 million from the state spending plan.

Date: February 8, 2010
Source: Associated Press


Filed Under: Drug Discovery

 

Related Articles Read More >

Sanders, King target DTC pharma ads but the industry worries more about threats to its $2B R&D model
Zoliflodacin wins FDA nod for treatment of gonorrhea
FDA approved ENFLONSIA for the prevention of RSV in Infants
First clinical study results of Dupixent for atopic dermatitis in patients with darker skin tones 
“ddd
EXPAND YOUR KNOWLEDGE AND STAY CONNECTED
Get the latest news and trends happening now in the drug discovery and development industry.

MEDTECH 100 INDEX

Medtech 100 logo
Market Summary > Current Price
The MedTech 100 is a financial index calculated using the BIG100 companies covered in Medical Design and Outsourcing.
Drug Discovery and Development
  • MassDevice
  • DeviceTalks
  • Medtech100 Index
  • Medical Design Sourcing
  • Medical Design & Outsourcing
  • Medical Tubing + Extrusion
  • Subscribe to our E-Newsletter
  • Contact Us
  • About Us
  • R&D World
  • Drug Delivery Business News
  • Pharmaceutical Processing World

Copyright © 2025 WTWH Media LLC. All Rights Reserved. The material on this site may not be reproduced, distributed, transmitted, cached or otherwise used, except with the prior written permission of WTWH Media
Privacy Policy | Advertising | About Us

Search Drug Discovery & Development

  • Home Drug Discovery and Development
  • Drug Discovery
  • Women in Pharma and Biotech
  • Oncology
  • Neurological Disease
  • Infectious Disease
  • Resources
    • Video features
    • Podcast
    • Voices
    • Webinars
  • Pharma 50
    • 2025 Pharma 50
    • 2024 Pharma 50
    • 2023 Pharma 50
    • 2022 Pharma 50
    • 2021 Pharma 50
  • Advertise
  • SUBSCRIBE