False Claims Act Update & Alert |
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Taxpayers
Against Fraud Education Fund | Washington, D.C. | WWW.TAF.ORG |
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 Novartis
to Pay $49.2 MOPI Properties, a division of Novartis, has agreed to pay $49.2 million in civil and criminal fines and to be excluded from federal healthcare contracts in order to resolve a probe into its marketing of nutritional products to Medicare and Medicaid. The settlement includes a $4.5 million criminal fine and a $44.7 million civil recovery. The agreement is part of a broader U.S. investigation into billing and marketing practices in the enteral nutritional products industry, which makes liquid supplements and equipment for patients on feeding tubes. With the recent acquisition of two other generic drug makers, Novartis has become the world's largest producer of generic pharmaceuticals. >> To read more |
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 DoJ
Between Iraq and Hard SpotThe DoJ is trying to figure out if they are going to be players in the Custer Battles fraud case, one of the first False Claims Act cases to come out of Iraq. The DoJ has asked the court to wait until April 8 for their response as to whether the Coalition Provisional Authority was an arm of the U.S. Government. Notes Steven L. Schooner of George Washington University, "It's not a very attractive position to say, 'If you stole U.S. money, you're liable. But if you stole Iraqi money, the U.S. government just doesn't care.'" >> To read more |
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 FIU
to Pay $11.5 MillionFlorida International University (FIU) has agreed to pay $11.5 million to settle charges it overbilled the Department of Energy on contracts dealing with environmental technologies. >> To read more |
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 FY
2003 HCFAC Report PublishedThe Department of Health and Human Services has released the FY 2003 Health Care Fraud and Abuse Control Program report. Among the highlights: n The Federal government won or negotiated more than $1.8 billion in judgments and settlements in health care fraud matters. n There were 1,277 civil matters health care cases pending in FY 2003, and 231 civil cases filed. n Over $269 million was paid out to relators for their assistance in health care fraud recoveries. >> For more information |
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 Mylan
Under InvestigationMylan Laboratories has disclosed that it is under investigation by the U.S. Department of Justice concerning Medicaid "best price" drug rebates. Several other states already have Mylan investigations underway. The investigations center on whether the company has violated the law requiring drug companies to sell drugs to Medicaid at the lowest price they are sold to other customers. Federal and state regulators have recovered more than $2.4 billion from drug manufacturers over Medicaid and Medicare payment issues. >> To read more |
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