published on June 7, 2016 - 7:57 PM
Written by The Business Journal Staff

(AP) — Federal prosecutors in San Francisco say Genentech and OSI Pharmaceuticals have agreed to pay $67 million to settle allegations they misled doctors about the effectiveness of a cancer drug.

The U.S. attorney’s office in Northern California announced the settlement on Monday.

It came in a whistleblower lawsuit over the drug Tarceva.

The pharmaceutical companies were accused of making misleading statements about Tarceva between January 2006 and December 2011.

According to a lawsuit, there was little evidence the drug was effective to treat certain lung cancer patients unless they never smoked or had a particular mutation.

Neither company acknowledged wrongdoing.

Genentech spokeswoman Holli Kolkey said the company believes its promotional communications for Tarceva were legal.

Astellas Pharma said the alleged misconduct preceded its acquisition of OSI, and it decided to resolve the matter to move forward.

e-Newsletter Signup

Our weekly poll

Are you willing to travel for business again?

Loading ... Loading ...

Central Valley Biz Blogs



Article views


Sign up icon

To continue website access to

please create a FREE account OR login here.


Article views


For only $69 for one 1-year you will receive the Print edition along with EVERYTHING The Business Journal has to offer digitally, PLUS you will have unlimited 24- hour a day access to view articles at

Use Promo Code

*New Subscribers Only

Digital and Print

XX Days Remaining

until you can view 5 more free articles

Sign up icon

Want access? Subscribe now & save $20 OFF.

Use Promo Code