False Claims Act Update & Alert
Taxpayers Against Fraud Education Fund | Washington, D.C. | WWW.TAF.ORG
March 19, 2008
n TAF Home Page
n Previous Newsletters
n Email editor
Please take a moment to forward this FREE electronic newsletter to others that might be interested!
CVS Pays $37 Million
For Drug Switching
CVS Corporation, America’s largest pharmacy chain, has agreed to pay $37 million to settle charges it illegally overcharged Medicaid up to 400 percent by switching generic Zantac (ranitidine) prescriptions from tablets to higher priced capsules. >> To read more
InterMune CEO Charged
The former CEO of InterMune has been charged in federal court with orchestrating an illegal marketing scheme for the drug Actimmune. In 2006, InterMune paid $36.9 million to settle False Claims Act charges it illegally promoted Actimmune to treat lung scarring despite the fact it was not FDA-approved for that use. >> To read more
Pfizer Sales Manager Indicted
A former district sales manager has been charged in a federal four-count indictment with obstruction of justice for altering and deleting documents from his computer related to a off-label promotion of an unknown drug. >> To read more
Mounting Zyprexa Liability
Alaska's trial against Eli Lilly for failure to warn patients that Zyprexa may cause diabetes is being watched closely around the country, and not just because nine other states have filed similar charges. It seems an internal email from Lilly's newly-nominated CEO has surfaced, which appears to have him encouraging off-label sales of Zyprexa to children. Lilly already faces a massive off-label marketing case with Zyprexa, and with a sales force of 280 to promote the drug off-label to nursing homes, a record settlement is expected. >> To read more
Michigan Money on the Table
Emails from the Michigan Attorney General's office shows they calculated the state lost $847,000 in a recent False Claims Act settlement because the state has failed to pass a Deficit Reduction Act-compatible False Claims Act. >> To read more