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Pharma Fraud

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DOJ Catch Of The Week -- Nashville Pharmacy Services

Posted  01/8/16
By the C|C Whistleblower Lawyer Team This week's Department of Justice "Catch of the Week" goes to Nashville Pharmacy Services, LLC, and its majority owner Kevin Hartman.  On Tuesday, Mr. Hartman and his Nashville-based pharmacy that specializes in dispensing HIV and AIDS-related medications agreed to pay up to $7.8 million to settle charges they overbilled Medicare and TennCare for pharmacy services.  Click here...

December 4, 2015

The New York Attorney General announced the arrest of two individuals for allegedly defrauding the state of more than $3 million. The indictment alleges that the individuals and related companies paid patients not to fill their HIV prescriptions and to forego receiving life-saving medications in return for side payments, as well as with dispensing to patients “diverted” medications obtained from unlicensed vendors. The parties then submitted false claims to Medicaid and the state AIDS Drugs Assistance Program (ADAP), claiming to have dispensed the medications to patients in accordance with state and federal law. NY

State Fraud Enforcement Spotlight -- Astrazeneca and Cephalon

Posted  11/6/15
By the C|C Whistleblower Lawyer Team On Wednesday, New York State Attorney General Eric T. Schneiderman announced that AstraZeneca LP and Cephalon, Inc. agreed to pay $54 million to settle government charges they overcharged state Medicaid programs for their pharmaceutical products.  AstraZeneca will pay $46.5 million and Cephalon, the wholly-owned subsidiary of Teva Pharmaceutical Industries. Ltd., will pay $7.5...

DOJ Catch Of The Week -- Warner Chilcott

Posted  10/30/15
By the C|C Whistleblower Lawyer Team This week's Department of Justice "Catch of the Week" goes to Warner Chilcott US Sales LLC, a subsidiary of pharmaceutical manufacturer Warner Chilcott PLC.  Yesterday, the company agreed to plead guilty to a felony charge of health care fraud as part of a global settlement in which Warner Chilcott agreed to pay $125 million to resolve its criminal and civil liability arising...

DOJ Catch of the Week — PharMerica Corp.

Posted  10/9/15
By the C|C Whistleblower Lawyer Team This week's Department of Justice "Catch of the Week" goes to Kentucky-based PharMerica Corp.  On Wednesday, the nation’s second-largest nursing home pharmacy agreed to pay $9.25 million to resolve allegations it violated the False Claims Act by soliciting and receiving kickbacks from pharmaceutical manufacturer Abbott Laboratories in exchange for promoting the anti-epileptic...

August 18, 2015

Pharmaceutical companies Concordia Pharmaceuticals Inc. and Par Pharmaceutical, Inc. have settled FTC charges that they entered into an unlawful agreement not to compete in the sale of generic versions of Kapvay, a prescription drug used to treat Attention Deficit Hyperactivity Disorder. As part of the settlement, the companies agreed not to enforce the anticompetitive provisions of their agreement, in which Concordia agreed not to sell an authorized generic version of Kapvay in exchange for a share of Par’s revenues. FTC

Can Data Bring Reason to Drug Pricing?

Posted  07/24/15
As far as purveyors of all things pharmaceutical go, Walter White isn’t looking so bad these days.  Well, at least his prices were competitive.  With major pharmaceutical companies putting astronomical and ever-increasing price tags on frequently life-saving medications, patients and insurers, including state and federal government payers, are finding themselves looking for new options and opportunities to...

Congress Highlights Medicare Part D Plans’ Failure To Prevent Fraud

Posted  07/16/15
Fraud in the Medicare Part D prescription drug program is getting the attention of not only the Department of Health and Human Services’ Office of the Inspector General (HHS OIG) but also watchdogs on Capitol Hill.  On Tuesday, July 14, 2015, the House of Representatives’ Committee on Energy and Commerce held a hearing to examine two recent reports from HHS OIG examining improper spending in the Medicare Part...

July 10, 2015

New York reached a $22.4 million settlement with the pharmacy Trinity Homecare LLC, primarily owned by Walgreen Co. The settlement relates to Synagis, an injectable drug for premature infants at risk for Respiratory Syncytial Virus (“RSV”). The drug can cost more than $2,000 per dose. Trinity had its staff try to sell Synagis by directly contacting the families of outpatient premature babies or their doctors, regardless of a patient’s need or if the baby’s current physician wanted it prescribed. According to allegations, initially lodged by a whistleblower hospital physician, Trinity staff improperly obtained babies’ names and other patient information from the hospital’s neo-natal intensive care unit logbooks. The whistleblower also alleged that Trinity misappropriated her name and medical license number on one alleged Synagis prescription for a baby she had never cared for. The Attorney General also conducted an audit and found that Trinity billed Medicaid when the pharmacy had no written prescription or when a purported prescription was invalid, including because it lacked a prescriber’s signature, patient’s name or a date. NY

DOJ Gives Major Shoutout To Whistleblowers In $450M DaVita False Claims Act Settlement

Posted  06/26/15
By Gordon Schnell On Wednesday, Denver-based provider of dialysis services DaVita Healthcare Partners, Inc. agreed to pay $450 million to resolve charges it violated the False Claims Act by purposely creating and then billing the government for unnecessary waste in administering the drugs Zemplar and Venofer to dialysis patients.  DaVita is the largest provider of dialysis services in the US with dialysis clinics...
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