Reckitt fac­ing opi­oid le­gal ac­tion

Daily Mail - - City & Finance -

RECKITT Benckiser ad­mit­ted it could still face le­gal ac­tion over the In­di­v­ior scan­dal and a fine ‘sub­stan­tially higher’ than the £300m it has set aside.

The consumer goods gi­ant has been rocked by claims its for­mer drugs busi­ness, spun off five years ago, made bil­lions of pounds af­ter fraud­u­lently mar­ket­ing an opi­oid ad­dic­tion treat­ment.

Cur­rent Reckitt chief Rakesh Kapoor, who is due to leave by the end of this year, and pre­de­ces­sor Bart Becht are both ac­cused of mak­ing false claims, which they deny, about the safety of the treat­ment Subox­one.

As it posted lack­lus­tre first-quar­ter sales, Reckitt said it was still in dis­cus­sions with US au­thor­i­ties over the mat­ter.

The company, which makes Strep­sils throat drops and the medicine Mucinex, blamed a weak cold and flu sea­son for like-for-like sales growth of just 1pc, be­hind pre­dic­tions of 1.8pc.

Over­all sales were £3.16bn. Reckitt stood by its an­nual fore­cast of up to 4pc like­for-like sales growth.

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