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Idaho gets $13 million in drug settlement

by Associated Press

KTVB.COM

Posted on October 13, 2009 at 4:22 PM

Updated Monday, Oct 19 at 8:31 AM

BOISE -- Idaho is getting $13 million as part of a settlement reach with Eli Lily and Co. over its marketing of an anti-psychotic drug.

Attorney General Lawrence Wasden announced the deal Tuesday, calling it the largest financial settlement in a legal case since Idaho and other states ended a lawsuit with tobacco companies in 1998.

Idaho sued Eli Lily over allegations the company used deceptive marketing strategies for the drug Zyprexa. The state accused the company of failing to warn doctors of the drug's serious side effects, a move that caused significant costs to the state's Medicaid program.

Idaho also claimed Zyprexa, approved for severe psychological disorders, caused consumers to gain weight, leading to other problems like diabetes.

Wasden said the $13 million will offset losses incurred by Idaho's Medicaid program.

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