UK pharmaceutical giant GlaxoSmithKline will plead guilty and pay a
record breaking $3bn, to settle the largest case of healthcare fraud in
US history.

The settlement comes after a probe by the US Justice
Department that investigated the company's marketing practices for nine
of its products.

GlaxoSmithKline pleaded guilty to misbranding
the drugs Paxil, Wellbutrin and Avandia. Prosecutors claimed the company
had encouraged the use of anti-depressant drug Paxil for children, even
though it was not approved by anyone under the age of 18. Wellbutrin
was also pushed for uses it was not approved for, including weight loss
and sexual dysfunction. GSK failed to report safety data about diabetes
drug Avandia to the Food and Drug Administration.

James Cole, Deputy Attorney General, spoke out in support of the criminal charges.

"We are determined to stop practices that jeopardize patient's health, harm taxpayers and violate the public trust."

The
settlement amounts to $1bn in criminal fess and a further $2bn in civil
fees after the company went to great lengths to promote the drugs, such
as providing meals and spa treatments to doctors that prosecutors'
stated amounted to illegal kickbacks. GlaxoSmithKline have agreed to be
monitored by US government officials for the next five years.