Investigation Healthcare Pharma February 06, 2026 | 3 min read | Politics

Glenmark Pharmaceuticals Paid $55 Million in Penalties After DOJ Uncovered Years-Long Generic Drug Price-Fixing Scheme

Between 2013 and 2015, Glenmark Pharmaceuticals Inc., USA, a major generic drug manufacturer, conspired with other companies to fix the price of pravastatin, a widely prescribed cholesterol medication, resulting in inflated costs for federal health care programs. Federal records show that after a multi-year investigation, Glenmark admitted to the conspiracy, paid a $30 million criminal penalty, and later settled civil False Claims Act allegations for an additional $25 million—bringing the total penalties to $55 million This case is not an isolated incident. The pharmaceutical sector has faced repeated scrutiny for anti-competitive practices, with Glenmark’s case exemplifying how such schemes can persist for years before enforcement actions are taken. The Department of Justice’s protracted investigation and dual-track criminal and civil settlements highlight the complexity and length of white-collar enforcement in the drug industry At stake are hundreds of millions of dollars in taxpayer funds and the affordability of essential medicines for millions of Americans. The delayed accountability raises questions about the effectiveness and speed of regulatory oversight in protecting public health and public money.

Key Players
4 entities involved
Bias
Balanced Coverage
Analysis
9 evidence items
Glenmark Pharmaceuticals Paid $55 Million in Penalties After DOJ Uncovered Years-Long Generic Drug Price-Fixing Scheme

What This Means For You

The Glenmark Pharmaceuticals case underscores the vulnerability of federal health care programs—and by extension, American taxpayers—to price manipulation in the generic drug market. The $55 million in penalties reflect only a portion of the financial harm caused by years of artificially inflated drug prices. With millions relying on affordable generics, even minor price increases can have outsized effects on public budgets and patient access. The years-long delay between the illegal conduct and enforcement action raises urgent questions about the sufficiency of current oversight and the need for swifter, more transparent accountability in the pharmaceutical sector.

Full Investigation

Key Insights

  • Glenmark Pharmaceuticals Inc., USA conspired with other manufacturers to fix the price of pravastatin between 2013 and 2015
  • In July 2022, Glenmark entered a deferred prosecution agreement, admitted to the conspiracy, and paid a $30 million criminal penalty
  • In September 2024, Glenmark paid an additional $25 million to resolve civil False Claims Act allegations related to the same conduct
  • Timing Pattern: Over six years elapsed between the end of the alleged conduct (2015) and the first major enforcement action (2022)
  • Money Trail: $55 million in total penalties flowed from Glenmark Pharmaceuticals Inc., USA to the U.S. Department of Justice and federal health care programs

The Investigation

On a September morning in 2024, the U.S. Department of Justice announced that Glenmark Pharmaceuticals Inc., USA, had agreed to pay $25 million to resolve allegations it defrauded federal health care programs by conspiring to fix the price of pravastatin, a generic cholesterol drug. This civil settlement capped a years-long investigation that had already resulted in Glenmark admitting guilt and paying a $30 million criminal penalty in 2022.

According to official DOJ records, Glenmark’s illegal conduct began in 2013, when the company entered into agreements with other generic drug manufacturers to coordinate price increases for pravastatin. These collusive arrangements, which continued through 2015, allowed the companies to artificially inflate the cost of a drug relied upon by millions of Americans, including those covered by Medicare and Medicaid.

The DOJ’s investigation, led by the Civil Division under Principal Deputy Assistant Attorney General Brian M. Boynton and the U.S. Attorney’s Office for the Eastern District of Pennsylvania under Jacqueline C. Romero, uncovered extensive evidence of Glenmark’s participation in the price-fixing scheme. In July 2022, Glenmark entered into a deferred prosecution agreement, admitting to the conspiracy and agreeing to pay a $30 million criminal penalty. This admission of guilt—unusual in such settlements—suggested prosecutors had amassed strong evidence.

The Settlement

Despite the criminal resolution, the civil case continued. More than two years later, in September 2024, Glenmark agreed to pay an additional $25 million to resolve its alleged liability under the False Claims Act. This civil settlement addressed the financial harm caused to federal health care programs, which had reimbursed inflated prices for pravastatin as a direct result of the conspiracy.

The timeline of the case reveals a striking pattern: Glenmark’s illegal conduct ended in 2015, but the first major enforcement action did not occur until 2022—a gap of more than six years. The civil settlement followed another two years later. Such delays are not uncommon in complex white-collar investigations, but they raise questions about the speed and effectiveness of regulatory oversight.

Accountability and Outlook

When contacted for comment, Glenmark Pharmaceuticals Inc., USA did not respond to multiple requests sent between January 15 and February 5, 2026. The U.S. Department of Justice, in its public statements, emphasized the seriousness of the conduct and the importance of holding pharmaceutical companies accountable for anti-competitive practices.

The conduct at issue violated both federal antitrust laws and the False Claims Act, which prohibits knowingly submitting false or fraudulent claims for payment to the government. The DOJ’s dual-track enforcement—pursuing both criminal and civil penalties—reflects the seriousness of the offense and the government’s commitment to recouping losses to public programs.

This investigation could not determine the full extent of financial harm to patients and taxpayers, as detailed reimbursement data and internal Glenmark communications remain unavailable or redacted. Going forward, the Glenmark case serves as a stark warning to the pharmaceutical industry and a call to strengthen regulatory oversight.

Evidence & Sources (9)
news Pending

Glenmark Pharmaceuticals Ltd. is the parent company and owner of Glenmark Pharmaceuticals Inc., USA.

"Glenmark Pharmaceuticals Inc., USA is a wholly owned subsidiary of Glenmark Pharmaceuticals Ltd., India."
View Original Document
court Pending

Glenmark Pharmaceuticals Inc., USA entered into a deferred prosecution agreement with the DOJ, agreeing to pay a $30 million criminal penalty and admitting to price-fixing conspiracy.

"Glenmark previously entered into a deferred prosecution agreement and paid a $30 million criminal penalty, admitting to the conspiracy."
View Original Document
court Pending

Glenmark Pharmaceuticals Inc., USA agreed to pay $25 million to resolve alleged False Claims Act liability related to price-fixing.

"Glenmark agreed to pay $25 million to resolve its alleged liability under the False Claims Act for this conduct."
View Original Document
news Pending

The U.S. Attorney's Office, Eastern District of Pennsylvania, is a regional office within the DOJ.

"The United States Attorney's Office for the Eastern District of Pennsylvania is part of the U.S. Department of Justice."
View Original Document
news Pending

The Civil Division is a division within the DOJ responsible for civil litigation.

"The Civil Division is the largest litigating division in the Department of Justice."
View Original Document
news Pending

Brian M. Boynton serves as Principal Deputy Assistant Attorney General for the Civil Division.

"Brian M. Boynton is the Principal Deputy Assistant Attorney General for the Civil Division."
View Original Document
news Pending

Jacqueline C. Romero serves as U.S. Attorney for the Eastern District of Pennsylvania.

"Jacqueline C. Romero is the United States Attorney for the Eastern District of Pennsylvania."
View Original Document
news Pending

Brian M. Boynton is a senior official within the DOJ, serving in the Civil Division.

"Brian M. Boynton is the Principal Deputy Assistant Attorney General for the Civil Division, U.S. Department of Justice."
View Original Document
news Pending

As U.S. Attorney, Jacqueline C. Romero is an official within the DOJ.

"Jacqueline C. Romero is the United States Attorney for the Eastern District of Pennsylvania, part of the DOJ."
View Original Document