Drug Company Pays Iowa Nearly $2 Million

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Drug Company Pays Iowa Nearly $2 Million

By Becky Ogann

Story Created: Jul 25, 2008 at 9:56 AM CDT

Story Updated: Jul 25, 2008 at 9:56 AM CDT

DES MOINES (AP) - A drug company has paid Iowa nearly $2 million to settle fraud allegations.

Bristol-Myers Squibb paid the money to Iowa as part of a $515 million national settlement that followed allegations that the New York-based company gave doctors improper incentives to prescribe its drugs.

The company also was accused of overcharging state Medicaid programs and inappropriately marketing a drug for use by children and people with dementia.

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