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Sunday, September 30, 2007

Bristol-Myers Squibb Fraud Follies

Five hundred fifteen million dollars can go a long way in providing needed health care in many places throughout the world.

Instead B-MS is paying this money as a fine for what we have know the drug companies do to enlist doctors to prescribe their drugs.

One of the most egregious acts by this firm is the increased prices charged to government health programs, especially the Senior Drug plan. The rip-off Senior drug plan is was and always will be a gravy train for Big Pharma, unless the Congress gets some chutzpah and reverses the law.

"The integrity of our health care system rests on physicians being able to make decisions based on the best interests of their patients," said acting Attorney General Peter Keisler.

Yes integrity is a key component of compassionate and competent health care. If doctors really are going to be allowed to make decisions based on patient need then Big Pharma needs to step aside, along with the insurers, and let medicine be managed by doctors.
Bristol-Myers pays 515 mln dlrs to end fraud, kickback probe
Fri Sep 28, 3:28 PM ET

Bristol-Myers Squibb will pay 515 million dollars to settle a probe into illegal kickbacks to doctors and fraudulent pricing of its drugs to government health programs, officials said Friday.

The Justice Department said the US pharmaceutical giant and its Apothecon subsidiary agreed to the payments to settle the civil allegations on drug marketing and pricing practices.

Bristol-Myers said the settlement covers the previously disclosed investigations that began several years ago. The company had agreed in principle to a settlement in December and to implement a five-year "corporate integrity agreement."

Government investigators alleged that Bristol-Myers from 2000 through mid-2003 paid "illegal remuneration to physicians and other health care providers to induce them to purchase BMS drugs," the Justice Department statement said.

The money was in the form of "consulting fees and expenses" to physicians and other health care providers as well as "travel to luxurious resorts."

From 1994 through 2001, according to investigators, Apothecon paid "illegal remuneration such as stocking allowances, price protection payments, market share payments, and free goods in order to induce its retail pharmacy and wholesaler customers to purchase its products."

In both cases, the government alleged that the company caused the submission of inflated and fraudulent claims to the federal health care programs.

"The integrity of our health care system rests on physicians being able to make decisions based on the best interests of their patients," said acting Attorney General Peter Keisler.

"This settlement reflects the Justice Department's strong commitment to holding drug companies accountable for devising and implementing fraudulent marketing and pricing schemes that undermine that decision-making process at the expense of federal health care programs for the poor and the elderly."

Bristol-Myers said in a separate statement it "is pleased to have resolved these matters from the past and is proud of its commitment to conduct business with the highest standards of integrity in its mission to extend and enhance human life."

Copyright © 2007 Agence France Presse.

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