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Lilly reps allegedly trained to downplay Zyprexa risks

Pharma Compliance Alert, August 6, 2008

According to court documents, Eli Lilly knew about the connection between Zyprexa and diabetes, but told sales representatives to downplay the risks, according to a Bloomberg article.

In the documents submitted as evidence in a lawsuit filed in Alaska, Lilly also allegedly encouraged sales representatives to promote the drug for off-label uses. Zyprexa was approved to treat schizophrenia and bipolar disorder, but sales representatives encouraged primary care physicians to use it to treat behavior, mood, and thought disturbances, Bloomberg reported.

In March, Lilly went to court in Alaska over charges it lied about the side effects of Zyprexa. Three weeks into the trial, Lilly and the state settled for $15 million, with Lilly admitting no wrongdoing. The court papers were unsealed on July 29 at Bloomberg’s request.

The allegations, if proven, could cost Lilly more money. The company has already paid $1.2 billion to resolve claims brought by more than 31,000 patients who said they weren't adequately warned about Zyprexa’s side effects. Nine other states have filed suit against Lilly over its marketing of Zyprexa and another 30 are considering legal action. Lilly is also in talks with the federal government to resolve allegations it improperly marketed Zyprexa and hid the side effects. The federal settlement could be as much as $1–$2 billion.

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