07:27 AM EDT, 10/11/2024 (MT Newswires) -- (Updates with Teva's response in the last paragraph.)

Teva Pharmaceutical's (TEVA) subsidiaries have agreed to pay $450 million to settle allegations of violating the Anti-Kickback Statute and the False Claims Act, the US Department of Justice said late Thursday.

In 2020, the drugmaker was accused of paying Medicare patients' copays for the multiple sclerosis drug Copaxone, which was prohibited by the Anti-Kickback Statute, while increasing its price from 2006 to 2017.

It also allegedly conspired with other generic drug manufacturers to fix prices for pravastatin, which is used to treat high cholesterol and triglyceride levels, and two other generic drugs -- clotrimazole and tobramycin.

The DOJ said the company will pay $450 million collectively to resolve the two alleged kickback schemes, in addition to the criminal penalty paid by Teva USA under its deferred prosecution agreement.

Teva had paid $225 million for price fixing under the previously deferred prosecution agreement.

"Teva is pleased to put these matters behind us," the company said, adding that "the settlements include no admission of wrongdoing, and Teva will pay a combined $450 million over 6 years to settle both matters." The company also said it "disputes that it caused false claims for reimbursement to be submitted to any government programs."

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