DOJ Announces FCA Lawsuit Against Teva Neuroscience, Inc.

The DOJ announced that the U.S. has filed a False Claims Act lawsuit against Teva Pharmaceuticals USA Inc. and Teva Neuroscience Inc., accusing the companies of illegally paying the Medicare co-pays for patients taking Copaxone, a drug for multiple sclerosis. The complaint alleges that Teva violated the Anti-Kickback Statute, which prohibits drug companies from “offering or paying, directly or indirectly, any remuneration… to induce Medicare patients to purchase the companies’ drugs.” Teva skirted this regulation by paying seemingly independent charitable organizations with the understanding that the funds would cover Medicare co-pays for patients taking Copaxone. At the same time, the company increased the annual price of the drug from $17,000 to over $70,000. The DOJ states that the government’s pursuit of this lawsuit illustrates the U.S. commitment to preventing pharmaceutical companies from defrauding government programs at the expense of American taxpayers and customers.

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