Biogen, the mRNA behemoth, has agreed to pay a whopping $900 million after the feds mentioned the Cambridge firm was accused of paying kickbacks to physicians to induce them to prescribe Biogen medication.
The settlement resolves a whistleblower lawsuit, mentioned Rachael Rollins, U.S. legal professional for Massachusetts.
“This matter is an important example of the vital role that whistleblowers and their attorneys can play in protecting our nation’s public healthcare programs,” Rollins added.
That whistleblower, former Biogen worker Michael Bawduniak, alleged that the corporate paid kickbacks to physicians “to induce them to prescribe the company’s multiple sclerosis drugs,” the announcement said.
Biogen has agreed to pay $843.8 million to the federal government and $56.2 million to fifteen states. It was not said how a lot Bawduniak will probably be paid — with the U.S. Attorney’s workplace saying solely he’ll obtain “a share of the federal recovery.”
According to Bawduniak’s criticism, from Jan. 1, 2009, by means of March 18, 2014, Biogen held applications by means of which it “offered and paid remuneration, including speaker honoraria, speaker training fees, consulting fees and meals, to health care professionals who spoke at or attended Biogen’s speaker programs, speaker training meetings or consultant programs to induce them to prescribe the drugs Avonex, Tysabri and Tecfidera in violation of the Anti-Kickback Statute,” the feds mentioned.
“Bawduniak doggedly pursued this matter on behalf of the United States for over seven years,” mentioned Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Department of Justice’s Civil Division.
He added: “The settlement announced today underscores the critical role that whistleblowers and their attorneys play in utilizing the False Claims Act to combat fraud affecting federal healthcare programs.”
Biogen closed down barely greater than 1% Monday at $195.75 per share.
Source: www.bostonherald.com”