J & J drops 4% on the Justice Department's report that was investigating allegations a company had lied about the risks of talc cancer

The Justice Department is pursuing a criminal investigation into whether Johnson & Johnson lied about the possible cancer risks of its talc for cancer, according to a Bloomberg report released on Friday.

A grand jury in Washington is reviewing documents about what J & J knew about the carcinogens in their products, according to Bloomberg, citing people familiar with the issue.

In response to the report, J & J told CNBC that the implication that there had been a new development in this area was completely wrong. J & J announced in February that it has received subpoenas. "We are cooperating fully with the DOJ's investigation," said a spokeswoman for J & J.

J & J shares lost more than 4% in the early afternoon.

The consumer products company, which makes everything from Tylenol lotions to Aveeno lotions, faces more than 13,000 talc-related lawsuits. J & J has denied allegations that her talc is causing cancer. Numerous studies and tests by regulators around the world have shown that its talc is safe and asbestos-free.

J & J and the Department of Justice were not immediately available for comment.

Last month, a California jury ruled in favor of a plaintiff who attributed her cancer to talc-based baby powder products made by J & J and Colgate-Palmolive. That happened just two weeks after the company was sentenced to pay $ 300 million in punitive damages to a woman in New York who attributed the cancer to her talc products.

Last summer, J & J revived its flagship baby product line of the same name to reverse the decline of the company's baby care unit. While trusted for decades, the brand, 124 years old, was no longer in contact with consumers, especially millennials, who were increasingly opting for emerging brands with a more natural image and more trendy.

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