DOJ Announces Largest Fraud Settlement in History

eduTrax News Service - Sept. 29, 2009.

The Justice Department (DOJ) announced its largest health care fraud settlement in its history on Sept. 2, 2009: the pharmaceutical giant Pfizer Inc. agreed to pay $2.3 Billion to resolve criminal and civil liability cases arising from the illegal promotion of certain pharmaceutical products. Of that $2.3 Billion, $1.195 Billion is a criminal fine, there largest fine ever imposed for anything, ever, in the US. Click title to read more...

Pfizer also has agreed to enter into an expansive corporate integrity agreement, created by the OIG/HHS. That agreement provides for procedures and reviews to be put in place to avoid and promptly detect conduct similar to what was found in these cases.

Investigations were triggered by six Whistleblower lawsuits filed under the qui tam provisions of the False Claims Act, which are now pending in the District of Massachusetts, the Eastern District of Pennsylvania and the Eastern District of Kentucky. The six whistleblowers will receive payments totaling more than $102 million from the federal share of the civil recovery.

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Visit Stop Medicare Fraud website to see other cases.