Attorney General Bonta, U.S. Coalition Secure $385 Million Settlement with Abbott Over Infant Formula
California Attorney General Xavier Becerra - Press Releases · · g5378538
September 21, 2026 Contact: (916) 210-6000, agpressoffice@doj.ca.gov OAKLAND — California Attorney General Rob Bonta today announced that California has joined 39 other states and the federal government in reaching an agreement with Abbott Laboratories (Abbott) to settle allegations that the company caused false claims to be submitted to federal and state programs arising from its failure to manufacture certain powder infant formula and nutritional therapy products in compliance with federal and state requirements. Abbott, an Illinois-based healthcare company that manufactures and sells infant formula and nutritional therapy products, will pay $348,700,868 to the United States to resolve the False Claims Act allegations and $35,491,288 to participating states for claims related to their state Medicaid programs. As part of the settlement, California will receive over $15 million in restitution and other recoveries. “Today’s settlement holds Abbott accountable for its misrepresentation of its product and production,” said Attorney General Bonta . “These state and federal regulations are in place to ensure we can provide the highest quality of care and products to mothers and their young children. This settlement sends the necessary message that these regulations aren’t suggestions. My office is committed to ensuring all products we provide for Californians are truly as high quality as they claim to be.” The U.S. Department of Agriculture (USDA) funds and regulates the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC), which provides nutritional support — including infant formula — to eligible participants. More than half of all infant formula purchased in the United States is paid for with USDA funds through WIC. Many state Medicaid programs also cover and pay for certain powder infant formula. The settlement resolves allegations that Abbott caused false claims to be submitted from 2018 to 2022 to federal and state programs arising from Abbott’s failure to manufacture certain powder infant formula and nutritional therapy products in compliance with federal and state statutory, regulatory, and contractual requirements. The federal and state governments allege Abbott knowingly manufactured infant formula purchased with taxpayer dollars in an environment that put the products at unacceptable risk of microorganism contamination and significantly impacted the products’ reliability, quality, and safety. The claims resolved by the settlement are allegations only, and there has been no determination of liability. The Division of Medi-Cal Fraud and Elder Abuse receives 75 percent of its funding from the U.S. Department of Health and Human Services under a grant award totaling $77,652,892 for Federal fiscal year (FY) 2026. The remaining 25 percent, totaling $25,884,297 for FFY 2026, is funded by the State of California. FY 2026 is from October 1, 2025, through September 30, 2026.
September 21, 2026 Contact: (916) 210-6000, agpressoffice@doj.ca.gov OAKLAND — California Attorney General Rob Bonta today announced that California has joined 39 other states and the federal government in reaching an agreement with Abbott Laboratories (Abbott) to settle allegations that the company caused false claims to be submitted to federal and state programs arising from its failure to manufacture certain powder infant formula and nutritional therapy products in compliance with federal and state requirements. Abbott, an Illinois-based healthcare company that manufactures and sells infant formula and nutritional therapy products, will pay $348,700,868 to the United States to resolve the False Claims Act allegations and $35,491,288 to participating states for claims related to their state Medicaid programs. As part of the settlement, California will receive over $15 million in restitution and other recoveries. “Today’s settlement holds Abbott accountable for its misrepresentation of its product and production,” said Attorney General Bonta . “These state and federal regulations are in place to ensure we can provide the highest quality of care and products to mothers and their young children. This settlement sends the necessary message that these regulations aren’t suggestions. My office is committed to ensuring all products we provide for Californians are truly as high quality as they claim to be.” The U.S. Department of Agriculture (USDA) funds and regulates the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC), which provides nutritional support — including infant formula — to eligible participants. More than half of all infant formula purchased in the United States is paid for with USDA funds through WIC. Many state Medicaid programs also cover and pay for certain powder infant formula. The settlement resolves allegations that Abbott caused false claims to be submitted from 2018 to 2022 to federal and state programs arising from Abbott’s failure to manufacture certain powder infant formula and nutritional therapy products in compliance with federal and state statutory, regulatory, and contractual requirements. The federal and state governments allege Abbott knowingly manufactured infant formula purchased with taxpayer dollars in an environment that put the products at unacceptable risk of microorganism contamination and significantly impacted the products’ reliability, quality, and safety. The claims resolved by the settlement are allegations only, and there has been no determination of liability. The Division of Medi-Cal Fraud and Elder Abuse receives 75 percent of its funding from the U.S. Department of Health and Human Services under a grant award totaling $77,652,892 for Federal fiscal year (FY) 2026. The remaining 25 percent, totaling $25,884,297 for FFY 2026, is funded by the State of California. FY 2026 is from October 1, 2025, through September 30, 2026.
Источник: California Attorney General Xavier Becerra - Press Releases