ANCHORAGE, Alaska, March 26 (UPI) -- Eli Lilly and Co. will pay Alaska $15 million to settle claims it failed to disclose side effects of the drug Zyprexa, the two sides announced.
The deal, revealed in a news release from the Indianapolis pharmaceutical company and Alaska Attorney General Talis J. Colberg, interrupted a trial that began March 3 in Anchorage, The Indianapolis Star reported Wednesday.
The state had sought $270 million in damages from Lilly when it filed suit in 2006. The state accused Lilly of withholding data about the anti-psychotic drug, contending the failure cost its Medicaid program millions of dollars by increasing the number of diabetes cases.
In agreeing to the payment, Lilly also said it will ensure Alaska is "treated as favorably as any other state" that may settle similar claims in the future, the Star reported.
Zyprexa is used to treat schizophrenia and specific bipolar disorders.
