June 5, 2019
(Reuters) – Mallinckrodt Plc said on Wednesday it reached an agreement with the U.S. Department of Justice to resolve a government investigation into its subsidiary Questcor and expects to pay $15.4 million.
Mallinckrodt bought drugmaker Questcor Pharmaceuticals Inc for about $5.6 billion in 2014 to gain access to its multiple sclerosis drug, Acthar Gel.
The terms of the agreement, which does not require an admission of wrongdoing on part of Mallinckrodt, are yet to be finalized, the company said.
The agreement relates to investigation into Questcor’s sales and marketing activities, but does not cover allegations relating to its charitable foundation activities.
(Reporting by Tamara Mathias in Bengaluru; Editing by Shinjini Ganguli)