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Paxil, Avandia maker GSK fined $750 million for contaminated, mislabeled drugs

gsk_fine_millions src=images/gsk_fine_millions.jpgBritish-based pharmaceutical company GlaxoSmithKline, or GSK, has been fined $750 million by the U.S. government for defective drugs produced at its factory in Cidra, Puerto Rico.

That factory produced such drugs as Paxil CR (controlled release tablets), Kytril, Bactroban and Avandamet. The U.S. Department of Justice found that, between 2001 and 2005, such drugs were contaminated with micro-organisms, were mislabeled and provided the wrong dosages due to failures at the factory.

Of the GSK penalties, $150 million involves a criminal fine, and $600 million involves civil penalties being paid to federal and state authorities. Of the federal fines, about $96 million will go to the whistle blower in the case, Cheryl Eckard.

The defective drugs actually were produced under the name SB Pharmaco, a unit of GSK. SB Pharmaco pleaded guilty to the charges that it had produced and sold “adulterated” drugs coming from the Puerto Rico factory, which GSK closed last year.

GSK already is known as a defective drug maker, having produced Paxil, an antidepressant which can give birth defects to the babies of women who take it while pregnant, and Avandia, a blood-sugar drug for diabetics which can increase their risks of heart attacks.

Drug manufacturers are required by federal law to meet purity and safety standards for drugs sold in the U.S. GSK did not meet those standards and paid a price.

But another price has been paid by thousands of persons who suffered due to the defective drugs. Meanwhile, GSK had a net profit in the third quarter of this year of $2.03 billion, some of which came from the defective drugs it sold to unsuspecting customers.

Those who are injured have little financial recourse except to press for damages in a court of law. A personal injury lawyer who’s experienced in defective drug cases can seek economic compensation for a victim’s medical expenses, lost wages and pain and suffering.