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False Claims Act Update & Alert |
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Taxpayers
Against Fraud Education Fund | Washington, D.C. |
WWW.TAF.ORG
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n TAF Home Page n Previous Newsletters n Email editor
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 Cephalon
Pays $425 MillionCephalon, a biotech company, has settled a massive off-label marketing case for $425 million. The case involved off-label marketing of Actiq (a narcotic lollipop designed for pain control in cancer patients), Gabitril (an epilepsy medication) and Provigil (a narcolepsy medication). Of the $425 million settlement, $50 million is a criminal fine and $375 million is to be paid as part of a civil settlement of Medicare and Medicaid claims under the False Claims Act. The massive fraud was first brought to the government's attention by four whistleblowers, all of whom will share in the proceeds of the recovery. As part of Cephalon's Corporate Integrity Agreement, the company will have to post on its website a searchable database of all physicians who acted as speakers or consulted for the company during 2009. Beginning the first quarter of 2011, Cephalon will have to name doctors who receive any payments from the company during the previous calendar year and say (roughly) how much they received. 4 Three press releases: 1, 2, 3 4 Settlement agreement (PDF) 4 Corporate integrity agreement 4 Plea agreement & sentencing |
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 Unum
SSDI Fraud Goes to Trial
Unum Group
goes to trial for
dumping tens of thousands of unqualified disability claims onto the Social Security system. Under the scheme,
the company required claimants
to file for Social Security disability insurance even if they didn't qualify,
or else
Unum would cut their benefits.
>>
To read more
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 EPO Linked to Stroke DeathsProcrit, the Johnson & Johnson-brand version of the anemia drug epoetin, appears to increase the chance of stroke. No word yet on how that news might impact the settlement of any False Claims Act cases dealing with kickbacks and/or off-label marketing of this drug. >> To read more |
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 Walgreens
to Pay $9.9 Million Walgreens, the national retail pharmacy chain, will pay the U.S. Government $9.9 million to settle an FCA case in which it is alleged the company billed Medicaid for drugs that should have been paid for by private insurance companies. >> To read more |
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 PEPFAR Drugs HaltedThe President's Emergency Plan for AIDS Relief (PEPFAR) has suspended funding for three antiretroviral drugs manufactured by Indian generic drug maker Ranbaxy and purchased by USAID. German, British and Canadian agencies are investigating whether Ranbaxy drugs might have been adulterated. >> To read more |
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