By Maria Armental 

Inspire Pharmaceuticals Inc. has agreed to pay $5.9 million and admit to making misleading marketing claims of its drug AzaSite to settle federal fraud claims, the Justice Department said Wednesday.

Under the settlement, which was approved Monday in Manhattan U.S. District Court, company officials admitted to trying to increase sales by marketing the drug for treatments that hadn't been approved by the Food and Drug Administration. As a result of the company's misleading marketing, the authorities said, federal health care programs paid millions of dollars in false claims from 2008 through May 2011.

The drug had only been approved to treat bacterial conjunctivitis, more commonly known as pinkeye.

The case was initially filed as a whistleblower claim in 2010.

Akorn Inc. bought Inspire Pharmaceuticals from Merck & Co. in 2013.

Write to Maria Armental at maria.armental@wsj.com

Access Investor Kit for Akorn, Inc.

Visit http://www.companyspotlight.com/partner?cp_code=P479&isin=US0097281069

Subscribe to WSJ: http://online.wsj.com?mod=djnwires

Merck (NYSE:MRK)
Historical Stock Chart
From Mar 2024 to Apr 2024 Click Here for more Merck Charts.
Merck (NYSE:MRK)
Historical Stock Chart
From Apr 2023 to Apr 2024 Click Here for more Merck Charts.