LANSING, Mich. (WLNS) — Michigan has joined the U.S. Division of Justice, 37 different states and Puerto Rico in settling kickback allegations towards a Pfizer, Inc. subsidiary.
Pfizer has agreed to pay $59,746,277.54, plus curiosity, to resolve allegations that the subsidiary, Biohaven Pharmaceutical Holding Firm Ltd. (Biohaven), knowingly submitted or triggered false claims to be submitted to Medicaid and different federal well being care packages by paying kickbacks, together with money, lavish meals, and honoraria funds to well being care suppliers to encourage them to prescribe Nurtec ODT (Nurtec), a prescription treatment for migraine therapy.
The Division of Lawyer Common stories that the State of Michigan will obtain $155,930.53 in restitution and different recoveries as a part of the settlement.
“Michigan taxpayers shouldn’t have to bear the cost of fraudulent corporate practices that prioritize profits over patient health care,” Michigan Lawyer Common Dana Nessel in a information launch despatched to six Information.
This settlement resolves allegations that between March 1, 2020, and September 30, 2022, Biohaven paid kickbacks to suppliers to current at speaker packages designed to advertise Nurtec to Medicaid and different federal healthcare beneficiaries. These actions violate the Anti-Kickback Statute.
Nurtec ODT (rimegepant) (CPSC)
Some suppliers have been allegedly paid tens of 1000’s of {dollars}, typically exceeding $100,000, for these packages.
The Division says some occasions have been allegedly attended by the supplier’s spouses, relations, and pals, who had no instructional have to attend. Moreover, sure suppliers allegedly attended a number of packages on the identical matter, and obtained costly meals and drinks paid for by Biohaven, with out acquiring any significant instructional profit.
The case was initiated by a whistleblower, a former worker of Biohaven, who will obtain a portion of the settlement.