Settlement Reached with Pharmaceutical Company
By: Greg Yarbrough
Updated: October 26, 2012
Attorney General Dustin McDaniel announced today that Arkansas, other states
and the federal government have reached an agreement with Boehringer Ingelheim
Pharmaceuticals, Inc. (BIPI) to settle allegations that the company paid
kickbacks and improperly marketed four of its drugs.
BIPI,
a Connecticut-based company, will pay the states and federal government a total
of $95 million in the settlement related to the drugs Atrovent, Combivent,
Micardis and Aggrenox. Of that, Arkansas's Medicaid program will receive
$489,399.20.
"This
company's illegal marketing practices led to increased, unnecessary costs to
Arkansas taxpayers," McDaniel said. "I am pleased that the state's Medicaid
program will receive additional money as a result of this joint state and
federal settlement. Our office will continue to work to prevent Medicaid fraud
in Arkansas."
The
settlement resolves allegations that BIPI unlawfully marketed the four drugs
for a variety of non-FDA approved illnesses, thereby causing false claims to be
submitted to Medicaid. Additionally, the settlement resolves allegations that
the company paid kickbacks to healthcare professionals as an inducement to prescribe.
