Whistleblowers Key in Drug Company Cases Alleging Illegal Marketing Practices

A recent trend in drug company litigation reveals that doctors who get too cozy with drug companies could face criminal prosecution for taking kickbacks while drug company execs also face criminal charges for misbranding drugs

The US attorney Michael Sullivan is prosecuting Forest Labs for paying Karen Dineen Wagner of U Texas at Galveston to serve as Chair of a 7-city CME (Continuing Medical Education) program in order to promote the off-label use of Celexa amongst other charges. A Massachusetts General Hospital child psychiatrist, Jeffrey Bostic received 750,000 in kickbacks for 350 lectures he gave misbranding the drugs." Bostic is head of a program that targets children for psychotropic intervention via pediatricians called the Massachusetts Child Psychiatry Access Project. Federal Prosecutors and health official are also cracking down on doctors who take kickbacks from drug companies for using their drugs or medical devices. " What we need to do is make examples of a couple of doctors so that their colleagues see that this isn’t worth it,” said Lewis Morris, chief counsel to the inspector general of the Department of Health and Human Services Massachusetts District Court issued a subpoena sought by Sullivan to Harvard child psychiatrists Biederman, Wilens, and Spencer. These 3 researchers promoted the use of powerful antipsychotic drugs for children. Meanwhile state attorney generals are pursuing recoveries of fraudulent reimbursement of these drugs via drug co. illegal marketing schemes.*** Just earlier this week, a Pfizer Drug Co. Sales Exec pleaded guilty to criminal wrongdoing & other charges, among them for misbranding of the drug Bextra.**** A key component of these recent cases are whistleblowers who come forth and bring action against pharmaceutical companies. An analysis conducted last year at Brigham & Women's Hospital found that qui tam cases are responsible for 90 % of the Justice Department's health care fraud recoveries.***** In the Forest Labs case a doctor originally filed suit and later on was joined by a Forest employee who came forward after noticing the company's corrupt practices.****** Eli Lilly's $1.6 billion settlement for the illegal marketing of Zyprexa earlier this year also rested on a former employee. The False Claims Act gives individuals the power to bring charges of wrongdoing against government contractors, then seek to have the Justice Department join the legal battle as a powerful ally. Those who bring cases can receive up to 30 percent of the total recoveries that targets might eventually agree or be ordered to pay******* * "Suit vs. Forest Labs Names Execs Linked to Alleged Lies About Lexapro, Celexa" Jim Edwards, BNet Blog Feb 26, 2009 http://industry.bnet.com/pharma/10001176/suit-vs-forest- ... ** "Crackdown on Doctors who Take Kickbacks" Gardiner Harris, New York Times Apr 03, 2009 http://www.nytimes.com/2009/03/04/health/policy/04doctor ... *** :"3 Researchers at Harvard Are Named in Subpoena," Gardiner Harris, New York Times, Apr 4, 2009 http://www.nytimes.com/2009/03/28/health/policy/28subpoe ... **** "Drug sales exec pleads guilty in Bextra case" Eric Convey, Boston Business Journal http://www.bizjournals.com/boston/stories/2009/03/30/daily25.html ***** "Whistle Blowers Key in Fraud Cases" The Boston Globe 02 Sep 08 ****** "Forest Laboratories: A Tale of Two Whistle-blowers," Alison Frankel, The Am Law Litigation Daily, 26 Feb 09 http://www.law.com/jsp/tal/digestTAL.jsp?id=1202428624111 *******U.S. Code Title 31, 3730. Civil actions for false claims (d) (2) http://www.law.cornell.edu/uscode/31/usc_sec_31_00003730----000-.html