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British regulators fine GSK $54.5M

GlaxoSmithKline, with major U.S. operations in the Philadelphia area, was fined $54.5 million, or 37.6 million pounds, Friday by a British competition authority for allegedly preventing less-expensive generic versions of its anti-depressant drug Seroxat from entering the market.

GlaxoSmithKline, with major U.S. operations in the Philadelphia area, was fined $54.5 million, or 37.6 million pounds, Friday by a British competition authority for allegedly preventing less-expensive generic versions of its anti-depressant drug Seroxat from entering the market.

GlaxoSmithKline has commercial operations primarily for vaccines and pharmaceuticals at the Navy Yard in South Philadelphia, and research and development sites in Upper Merion and Upper Providence, Montgomery County.

Britain's Competition and Markets Authority fined the Brentford, England based company for paying more than 50 million pounds to generic drug makers, Generics UK and Alpharma Ltd., between 2001 and 2004 to delay selling the generic medicines, known as paroxetine. The generics were launched in 2003.

GlaxoSmithKline said that it disagreed with the ruling, and the payments were made "to settle costly, complex, and uncertain patent disputes" which allowed the generic products "to enter the market early." Glaxo said it was considering grounds for appeal.