False Claims Act Update & Alert
Taxpayers Against Fraud Education Fund | Washington, D.C. | WWW.TAF.ORG January 10, 2008
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Washington D.C. To Require Pharma Rep Sales Licenses
The Washington D.C. City Council has passed a bill that will require pharmaceutical reps to be licensed and have college degrees, and the law will also explicitly bans reps from “deceptive or misleading marketing." The bill is expected to be signed into law by D.C. Mayor Adrian Fenty. No word yet on how this will impact Washington Redskins cheerleaders. >> To read more
Fraud-fighting Without Teeth
The federal monitor investigating fraud at the University of Medicine and Dentistry of New Jersey, says the school is making some progress in getting its house in order, but that it's fraud-fighting program still lacks real teeth. >> To read more
Orthofix in the Crosshairs
Dr. Patrick Chan has agreed to pay $1.5 million to settle charges he was paid kickback by Blackstone Medical, a subsidiary of Orthofix, which makes surgical devices. As part of the agreement, Chan will work with government investigators looking into allegations Blackstone and other companies paid kickbacks to other doctors. Orthofix purchased Blackstone in 2006, and has set aside $50 million to settle possible liabilities. >> To read more
Dey and Takeda Pay $6.75 Million In 2005, Alabama Attorney General Troy King filed a lawsuit alleging 71 companies had fraudulently inflated the cost of prescription drugs paid by Alabama's Medicaid program. Now Dey and Takeda have settled for $4.75 million and $2 million, respectively, and cases against AstraZeneca, Novartis, and GlaxoSmithKline are set for trial in February. Alabama does not have a False Claims Act. >> To read more