A company that made a cholesterol drug that was later pulled from the market is paying Iowa and 29 other states eight million dollars. A spokesman for Iowa’s Attorney General, Bob Brammer, says the payment is part of a settlement with the company.
Brammer says Iowa and the other states allege that Bayer Corporation rolled out the drug Baycol in 1998. Brammer says the company’s studies after the drug was out indicated the side effects of the drug were worse than expected, and the company failed to adequately disclose those side affects to the public. Brammer says the company fell short of its obligation to let everyone know of the problems with the drug.
Brammer says the company did notify the FDA, but did not do enough to notify everyone. The drug was eventually pulled from the market. Brammer says has agreed to other conditions along with the payment. Brammer says the company will register studies on drugs and publish their results. Iowa’s share of the payment is 200-thousand dollars. Brammer says the money will go back into consumer safety efforts by the state.
Victims are recovering money in separate suits. Brammer says Bayer has paid "perhaps a billion dollars" in lawsuits from those who used the drug. Brammer says the payment to the states is for violation of consumer fraud laws. Brammer says the drug led to muscle weakness and muscle disease in those who took it to lower their cholesterol.
