Articles Posted in Big Pharma false ads

kickbacksIn 2009, the company Eli Lilly & Co. plead guilty to illegally marketing an antipsychotic drug, Zyprexa, for unapproved uses on patients, leading to a fine of $1.42 billion. This settlement ended a series of civil lawsuits, as well as a criminal investigation. At the time this large of a settlement was unheard of, but how did the company orchestrate such a massive kickback scheme?

The Kickback Scheme

Originally, Zyprexa was approved for a very narrow use of schizophrenia and bipolar disorder, however Eli Lilly & Co. soon began to market the drug for a variety of other purposes. In fact, it was alleged that Zyprexa was eventually marketed to treat dementia, and was even prescribed for illnesses related to pediatrics in high doses. The company was also accused of overcharging for the drug. This allowed the company to target a significantly wider audience, increasing their potential profits on the drug exponentially.

Insys TherapeuticsA former Insys Therapeutics executive, accused in an opioid bribe scheme, may have once gifted a lap dance to a doctor the company was pressuring to prescribe opioids drugs to patients. The troubling allegations are emerging as part of Insys trial in Boston.

Jurors heard the “lap dance” testimony on the second day of the federal trial in Boston against Insys Therapeutics founder, John Kapoor, and four other former executives. Apparently, Sunrise Lee, was a former exotic dancer with no experience in pharmaceuticals, who was hired to be a regional sales manager.

Holly Brown, a former Insys sales representative, testified that her superiors encouraged her and others of the sale team to focus their attention on a specific doctor who was known for prescribing a high amount of opioids, named Dr. Paul Madison. She says at one party she saw Lee sitting on Madison’s lap and “bouncing around,” with Madison’s hands “inappropriately all over” Lee’s chest. The prosecutors say this was part of an opioid bribe scheme.

watchdog-300x200An Australian Consumer Watchdog Agency Says Misleading Claims Will Ultimately Hurt the Public

An Australian Consumer Watchdog group is taking two big pharmaceutical companies to court. The Australian Competition and Consumer Commission says that Novartis (NVS) and GlaxoSmithKline (GSK) are making false claims about a topical gel and pocketing the profits.

Misleading the Public

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