Alpharma Inc., an American pharmaceutical manufacturer, will pay $42.5 million to settle False Claims Act allegations. 

The settlement resolves allegations that Alpharma paid health care providers to promote or prescribe Kadian, a drug used to treat moderate to severe chronic pain.  The company is also alleged to have misrepresented the safety and efficacy of the drug.

The settlement proceeds will be split between the federal government and several states, with the federal government receiving approximately $33.6 million and the states receiving approximately $8.9 million to resolve their respective claims.

This lawsuit was brought by whistleblower Debra Parks under the qui tam or whistleblower provisions of the False Claims Act.  Under the civil settlement, Ms. Parks will receive $5.33 million of the federal government’s recovery.

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