Mallinckrodt Expects To Pay $15 Mln To Settle DOJ's Bribery Investigation

(RTTNews) - Mallinckrodt plc (MNK), Wednesday said it reached an agreement with the U.S. Department of Justice to settle the investigation of Questcor's legacy sales and marketing activities.

Mallinckrodt expects to pay $15.4 million to DoJ related to legacy Questcor activities.

Two whistleblower lawsuits claimed Questcor improperly promoted and bribed doctors to prescribe its popular drug H.P. Acthar Gel. The suits also claimed Questcor defrauded Medicare by illegally marketing the drug, which is used for treating multiple sclerosis and seizures in children.

The company said the government is still seeking unspecified monetary damages from Mallinckrodt related to alleged improper conduct at a Questcor charitable foundation between 2010 and 2014.

"Mallinckrodt looks forward to finalizing our settlement agreement with the government relating to legacy Questcor sales and marketing activities. As we have said repeatedly, where we can resolve legacy legal matters in a reasonable and manageable way, we will do so," said Mark Casey, General Counsel, Mallinckrodt.