False Claims Act Update & Alert

 
 

Taxpayers Against Fraud Education Fund | Washington, D.C. | WWW.TAF.ORG          
October 7, 2008

 
     
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Lilly to Pay $62 Million
Lilly pharmaceuticals will pay $62 million to settle consumer protection law violations in 33 states over the off-label marketing of Zyprexa, a powerful antipsychotic medication.   Industry insiders say the consumer law settlement may be a signal that a separate but related False Claims Act and criminal investigation is about to settle for a sum expected to exceed $1 billion. >> To read more
    

WellCare
In the Crosshairs
Gregory West, a WellCare Health Plans employee, pled guilty to defrauding Florida's Medicaid program more than 10 months ago, but the plea has just now been announced, which suggests more troubles ahead for WellCare.  WellCare has already refunded $32.5 million back to the state, but the investigation remains ongoing.  >> To read more

Armor to Pay $30 Million
Armor Holdings Products, a division of BAE Systems, has agreed to pay $30 million to settle a False Claims Act case in which it was accused of knowingly manufacturing and selling defective Zylon bullet-proof vests with material manufactured by Toyobo Industries. >> To read more

Uncle Sam vs.
McKesson Corp.
The U.S. Department of Justice has intervened in a False Claims Act case against
McKesson and several nursing home facilities and companies alleging a pattern of illegal kickbacks, and the establishment of sham durable medical equipment (DME) suppliers.  >> To read more