Novartis Pays $72.5M Fine For Off-Label Marketing
1 CommentBy Ed Silverman // May 5th, 2010 // 7:19 am
Two units of the big drugmaker - Novartis Vaccines & Diagnostics and Novartis Pharmaceuticals - agreed to pay the $72.5 million fine in order to resolve civil False Claims Act charges over the marketing of the TOBI cystic fibrosis medicine that took place between January 2001 and July 2006.
The US Justice Department charged Novartis and Chiron, which Novartis purchased in 2006, caused false claims to be submitted to federal health care programs for off-label uses and for patients who shouldn’t have received the drug (here is the settlement).
The federal government will get $43.5 million and various states will receive $29 million. Meanwhile, three former Chiron employees – Robert Lalley, Courtney Davis and William Manos – who filed whistleblower, or qui tam lawsuits, will receive $7.8 million of the federal share of the settlement.
Big Pharma Watch
What a surprise! Another Big Pharma corporate sinner! All too common in what should be a very responsible industry, but is now run by crooks and con-men.