By Monte M. Korn
(Information for this article comes from an article written by Peter Loftus titled “Whistleblower’s Long Journey” that appeared in the Wall Street Journal on Oct. 28.)
Cheryl Eckard, a quality-assurance manager for drug maker Glaxo-SmithKline PLC was sent from North Carolina to Puerto Rico to help clear up a mess at one of its biggest manufacturing plants.
“Eckard worked at Glaxo from 1992 to 2003 and was a manager of global quality assurance at the company’s Research Triangle Park, N.C., site at the time she was asked to visit the plant in Cidra, Puerto Rico.
“U.S. authorities had just cited the plant for several violations, including making a contaminated ointment used to treat skin infections on children.
“Eckard’s journey from North Carolina to the Caribbean set off a chain of events culminating in this week’s announcement that she would collect at least $96 million for her role in helping the government secure a criminal guilty plea and a $750 million payment from Glaxo to settle an investigation of manufacturing deficiencies.”
The $96 million payment “is believed to be the largest award given to a single whistleblower in U.S. history,” according to the article.
“She currently works as a consultant to the pharmaceutical industry on quality-assurance projects.
“‘This is not something I ever wanted to do, but I felt I had no choice because of the safety concerns,’ Ms. Eckard said in a statement Tuesday in Boston.
“Glaxo said in a statement that it regretted the way it operated the Puerto Rico plant, which has since been closed, and it’s committed to continuously improving manufacturing quality. The company denied Ms. Eckard’s allegations, and said her lawsuit will be dismissed as part of the settlement and payout to her. In its planned guilty plea, Glaxo agreed to admit that it sold adulterated products with the intent to defraud or mislead. A court date hasn’t yet been set for Glaxo to formally enter the plea and receive sentencing.”
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To read the entire article, visit http://online.wsj.com/article/SB10001424052702303443904575578713255698500.html?KEYWORDS=whistleblower.
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Monte M. Korn is an attorney practicing law in West Bloomfield, has been a member of the State Bar of Michigan since 1942, and is a member of the Probate and Elder Law Sections of the State Bar.
Monte Korn is the talk show host of “Open Line with Monte Korn” on radio station WNZK am690 every morning at 11 a.m. He can be reached at (248) 933-4334.
The material in the above article is the research of Monte M. Korn. The Detroit, Oakland County, and Macomb County Legal Newspapers have no responsibility therein.
