(Reuters) – Johnson & Johnson said we have received daily cash benefits from the US Justice Department and the Securities and Exchange Commission (SEC) in connection with disputes involving alleged asbestos pollution in their signature Baby Powder product line.
The company said it intends to “fully co-operate with these requests and continues to defend the company in speech-specific disputes”.
The disclosure in Johnson & Johnson’s annual report on Wednesday is the first time that the company revealed that it had received daily cash benefits
The Ministry of Justice and the SEC did not immediately respond to the request for comments.
A Reuters report on December 14 showed that Johnson & Johnson knew for decades that small amounts of asbestos, a known carcinogen, were sometimes found in their talc and powder products by the 1970s to the early 2000s – information as it does not disclose to regulators or the public.
The Reuters article led to a sales share in Johnson & Johnson shares, which amounted to about $ 40 billion from the company’s market value in one day and a PR crisis when the health conglomerate stood out
Johnson and Johnson said the federal inquiries “are related to news reports containing incorrect statements and also contained important information “that had already been published.
] The company added that “decades of independent testing of regulators and the world’s leading laboratories show that Johnson & Johnson’s baby powder is safe and asbestos-free and does not cause cancer.”
Johnson & Johnson are facing trials involving 13,000 plaintiffs claiming The use of their talc products, including Baby Powder, caused cancer.
Last month, US Democratic Senator Patty Murray sent a letter to J & J CEO Alex Gorsky looking for documents and information related to testing his talc products for the presence of carcinogens and “how it presented the information to regulators and consumers”.