False Claims Act Update & Alert

 
 

Taxpayers Against Fraud Education Fund | Washington, D.C. | WWW.TAF.ORG          
April 30, 20
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AstraZeneca to Pay $520 Million
AstraZeneca
has agreed to pay $520 million to settle a False Claims Act case charging the company with off-label marketing of the atypical anti-psychotic drug Seroquel.  In this settlement, the federal government will receive $302 million and the states will receive $218 million.  The two relators in the case were Dr. Stefan Kruszewski and James Wetta. This is the largest purely civil off-label marketing settlement. >> To read the complaint and settlement
    

Ortho-McNeil to Pay $81 Million
Ortho-McNeil has agreed to pay $81 million to settle a False Claims Act case charging the company with paying kickbacks for doctors for  prescribing the anti-seizure medication, Topamax, for such off-label uses such as eating disorders, weight loss, and alcohol dependence. Angela Maher and Anastasia Savka-Klovski and Dr. Gary R. Spivack will share in the whistleblower awards. >> to read the complaint and settlement

Schwarz to Pay $22 Million
Schwarz Pharma will pay $22 million to settle a False Claims Act case charging the company with marketing two unapproved drugs, Deponit and Hyoscyamine Sulfate ER. Under the settlement, two whistleblowers, Constance and James Conrad will receive a total of $1,836,575 from the federal share and an additional sum from the states.

Grassley Cautions OIG, States
Sen. Grassley has sent a strongly worded letter to HHS and DoJ underscoring the fact that he thinks a "first-to-file-anywhere bar" being suggested to the states by pharma lobbyists should disqualify a state from receiving any Deficit Reduction Act incentive for having a state FCA.

 

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