Cardinal Health Inc.

New York, NY: New York State Attorney General Eliot Spitzer filed charges against the prescription drug distributor alleging improper secondary market trading of pharmaceuticals. When wholesalers trade drugs among themselves after they are sold by manufacturers, but before they are bought by pharmacies and hospitals it can cause counterfeit drugs to enter the marketplace. Cardinal Health shut its pharmaceutical trading company in the summer of 2005 and stopped buying drugs in the secondary market in December 2005. Cardinal Health has agreed to pay $11 million to settle the probe. (Dec-27-06) [REUTERS: CARDINAL HEALTH]

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