Novartis must face doctor kickback lawsuit, U.S. judge rules GlobeBusiness
Switzerland's national flag flies in front of the logo of drugmaker Novartis, in Basel, Switzerland, on Jan. 30, 2019.Novartis AG must face a U.S. government lawsuit accusing it of paying millions of dollars in kickbacks to doctors so they would prescribe its drugs, after a federal judge ruled on Monday that the government had offered evidence of a “companywide kickback scheme.”
“We are disappointed in today’s decision and look forward to presenting our case at trial,” Novartis spokesman Eric Althoff said in an e-mail. “We continue to believe that the government has insufficient evidence to support its claims.” The U.S. government and the state of New York both intervened in the case in 2013, accusing Novartis of paying doctors kickbacks so they would prescribe several of its drugs, including hypertension drugs Lotrel and Valturna and diabetes drug Starlix.
Government health insurance programs Medicare and Medicaid were billed millions of dollars from 2002 to 2011 for drugs prescribed by doctors who took kickbacks, the lawsuit said, violating the False Claims Act. The government is seeking damages of three times what it was billed for allegedly fraudulent claims.
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