The government’s recent massive settlement with Johnson & Johnson is paying dividends for the residents of Washington, D.C.
The District of Columbia’s Medicaid program will receive more than $3 million out of the $1.2 billion settlement, which resolved four qui tam cases filed in federal court in the Eastern District of Pennsylvania.
In a case that could have enormous implications for the federal government and the pharmaceutical industry, the United States Supreme Court has asked the Solicitor General to provide its position. The issue involves Rule 9(b) of the False Claims Act, which requires a whistleblower to allege claims of fraud with specificity.
Johnson & Johnson has agreed to pay $181 million to resolve allegations of inappropriate marketing of the drug Risperdal. Thirty-six states and the District of Columbia will share in the settlement money.
The lawsuit alleges that Janssen Pharmaceuticals Inc., a subsidiary of Johnson & Johnson, marketed Risperdal for off-label uses,
On July 27, 2012, it was announced that the McKesson Corporation agreed to pay $151 million to 29 states to settle allegations that the company artificially raised Medicaid drug prices, resulting in excess charging for prescription medications. More specifically, it was alleged that McKesson provided inflated prescription-drug information for a wide variety of brand-name drugs and the knowledge that the information would be given to First DataBank,
The Wall Street Journal reports that pharmaceutical giant, Johnson & Johnson, may pay up to $2.2 billion to settle claims for its Risperdal marketing practices, and the settlement may include a criminal fine of approximately $400 million. The settlement would allow Johnson & Johnson to continue to sell its products to government programs.
The Justice Department announced on Monday, July 2, 2012 that GlaxoSmithKline has agreed to pay $3 billion in settlements and to plead guilty to criminal charges related to its branding, safety disclosures and price reporting of several drugs. This is the largest fraud settlement in U.S. history to date.
GlaxoSmithKline will pay $1.8 billion to resolve criminal and civil liabilities for off-label marketing,
The U.S. Government continues to collect federal funds that were not appropriately paid to private companies. Three large pharmaceutical companies still owe the U.S. Government an amount totaling $4.7 billion as a result to False Claims Act allegations.
In 2011, the Department of Justice (DOJ) announced some of the largest sums owed to the U.S.
There was a great article in the Philadelphia Inquirer on Thursday, June 14, 2012. David Sell, who covers the pharmaceutical industry for The Inquirer’s Business Department, wrote about the False Claims Act and Acting Assistant Attorney General Stuart F. Delery’s speech at the American Bar Association’s Ninth National Institute on the Civil False Claims Act and Qui Tam Enforcement.
On May 7, 2012, the Justice Department announced that Abbott Laboratories, Inc. has pled guilty to allegations arising out of its promotion of the prescription drug, Depakote.
Abbott Labs was charged with promoting the drug for uses which had not been approved as safe and effective by the Food and Drug Administration.
On Thursday, April 26, 2012, Stuart F. Delery, Acting Assistant Attorney General for the Justice Department’s Civil Division; New Jersey U.S. Attorney Paul J. Fishman; and Daniel R. Levinson, Inspector General of the U.S. Department of Health and Human Services announced that the McKesson Corporation has agreed to pay the United States a $190 million settlement to resolve allegations that the company violated the False Claims Act.