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Manhattan U.S. Attorney Files Healthcare Fraud Lawsuit against Novartis Pharmaceuticals Corp. For Orchestrating a Multi-Million Dollar Prescription Drug Kickback Scheme

Preet Bharara, the United States Attorney for the Southern District of New York, and Ronald T. Hosko, the Assistant Director of the Federal Bureau of Investigation, Criminal Investigative Division ("FBI"), announced today that the United States has filed a civil healthcare fraud lawsuit against Novartis Pharmaceuticals Corp. ("Novartis"). The Government's Complaint seeks treble damages and civil penalties under the False Claims Act against Novartis for giving kickbacks, in the form of rebates and discounts, to 20 or more pharmacies in exchange for their switching transplant patients from competitor drugs to Novartis's drug, Myfortic. The lawsuit alleges that, as a result of Novartis's kickback scheme, Medicare and Medicaid have issued tens of millions of dollars in reimbursements based on false, kickback-tainted claims.

Read more on www.justice.gov

Action Details

  • Date:April 23, 2013
  • Agency:U.S. Attorney
  • Enforcement Types:
    • Criminal and Civil Actions