Pharmaceutical Kickbacks

Right now the pharmaceutical industry is in the middle of its biggest challenge in history. Whistleblowers have exposed and continue to expose fraudulent practices ranging from pricing issues to sales and marketing practices at a rate never anticipated by either the pharmaceutical industry or the Department of Justice. Settlements and jury verdicts have been headline grabbing and large, attracting the attention of pharma, regulators, Congress and taxpayers. The qui tam pharmaceutical fraud cases settled since 2000 alone have amounted to over 3.5 billion dollars, representing various patterns of fraud. We expect to see some new patterns as time goes by, especially with the new Medicare prescription drug benefit. Pharmaceutical fraud is still abundant and this blog is intended to keep readers up to date with all pharmaceutical fraud related news and to provide commentary when warranted. This blog also contains an array of laws and regulations concerning the Federal Food, Drug and Cosmetic Act set out in an easy to read format.

Congress now has the power to shake up the FDA

by Nolan and Auerbach on January 26, 2007

With the new Democratic-controlled Congress, how the FDA accomplishes enforcement will likely change, which may in turn effect the level of resources devoted to the investigation of qui tam complaint allegations. In June 2006, a government report was issued entitled “Prescription for Harm: The Decline in FDA Enforcement Activity”, as a result of the House Committee on Government Reform having commissioned an investigation to evaluate the FDA enforcement activities related to the pharmaceutical industry under the Bush administration. The Report did not present a well-oiled enforcement machine.

To see the full report, click here.

To read more about Pharmaceutical Fraud, click here.

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