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Johnson and Johnson Whistle Blower Case Is Re-Opened From a Few Years Back

Posted Aug 14 2009 5:19pm

This case goes back around 10 years or better, but we live in a world of transparency today so the judge wants the details.  I keep coming back around to a post I wrote a while back, these 2 seem to be driving a lot of revenue these days:)

The 2 New Hot Words in Healthcare: Algorithms and Whistleblowers

I have a feeling some of these cases are going to last for a very long time, but the one allegation here that is scary is the claim about overdosing patients, or rather showing the overdosing amount on the bills to Medicare whether or not the patient actually received too much is not clear from this article.  BD 

TRENTON, N.J. (AP) — A federal appeals court has revived a multibillion-dollar Medicare fraud case brought by whistle-blowers alleging Johnson & Johnson paid doctors kickbacks to prescribe an expensive drug in a strategy to boost sales.
Two former salespeople for the health care giant have been alleging that J&J's Ortho Biotech Products unit, which sells its anemia drug Procrit, gave doctors kickbacks to write prescriptions for the blockbuster drug during the 1990s. Most of the prescriptions were covered by the federal Medicare health program.
Jan Schlichtmann, attorney for the ex-salesmen, said in an interview Thursday that Ortho Biotech ran "an extensive scheme" in which oncologists and other doctors were given free Procrit, honoraria, speaking fees, "off-the-invoice discounts" and other monetary inducements to give their patients Procrit, particularly after the drug faced competition from rival Amgen Inc.'s Aranesp.

Procrit was administered as an intravenous injection at doctors' offices, hospitals and clinics, and those providers would then bill Medicare for the product's full price. In addition, salespeople induced doctors to increase the amount of Procrit that patients received by one-third more than the approved dose, increasing J&J's revenue, said Schlichtmann.

Appeals court revives whistle-blower suit alleging J&J paid doctors to sell anemia drug --

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