Sandoz entered into an adjourned lawsuit agreement in which the company agreed to pay a US$195 million fine and admitted that it was involved in the offending conspiracies and that its sales, influenced by the offending conspiracies, exceeded US$500 million. This is the fourth charge in the Department of Generic Drug Industry Cartels` ongoing investigation: two executives have been charged and convicted of criminal antitrust violations, and Heritage Pharmaceuticals Inc. has been charged and has entered into a prosecution agreement with the Cartel Department. Today, the Cartel Service also announced a deferred lawsuit agreement to settle the charge against Rising, under which the company admits to conspiring to set prices and assign customers to Benazepril HCTZ. As part of the agreement on adjourned proceedings, Rising agrees that 1,543,207 $US is the reasonable amount of reimbursement it owes to the victims of the offending conduct. In order to accommodate Rising`s separate agreement with the department`s civil division, which requires Rising to pay approximately $1.1 million in civil damages for violations of the False Claims Act based on Rising`s conduct, the deferred prosecution agreement requires rising compensation for reimbursement at $438,066. The agreement also requires Rising to pay a $1.5 million fine, which will be reduced from the approximately $3.6 million fine claimed by U.S. Sentencing Guidelines because of Rising`s financial situation and liquidation. Both the deferred lawsuit agreement and the civil transaction contract are subject to bankruptcy court approval. Once the authorization is granted, the deferred prosecution agreement is filed in the District Court. Last summer, the DOJ officially announced that it would allow prosecutors to resolve criminal investigations with data protection authorities in some cases.  The DOJ`s Cartel Department stated that «prosecutors may act through a Deferred Prosecution Agreement (DPA) where relevant actors, including the adequacy and effectiveness of the company`s compliance program, demonstrate this.»  «Today`s accusation, like the previous individual and corporate charges announced in this investigation, publicly confirms the steadfast commitment of the Cartel Department to prosecute companies and executives who have set prices for generic drugs,» said Assistant Attorney General Makan Delrahim of the Department of Understanding Department of Justice.
«Rising and its co-conspirators have benefited from patients who rely on benazéril HCTZ as a cost-effective alternative to brand-name drugs for the treatment of hypertension.