Pharmacy and Drug Fraud: A Prescription for Imprisonment and Big Fines

A number of civil settlements and criminal convictions involving pharmacy and drug fraud in 2018 have highlighted a longstanding problem that imperils patient health and burdens American taxpayers with costs measured annually in the millions of dollars. Pharmacy and drug fraud takes many different forms and can involve everyone in the supply chain from small pharmacy operators to large pharmaceutical distributors. Illegal Repacking of Cancer Drugs In October of last year, the Department of Justice (“DOJ”) announced a settlement with AmerisourceBergen Corporation and several of its subsidiaries (collectively “ABC companies”). According to allegations in three separate qui tam complaints, the ABC companies operated a facility that improperly repackaged oncology-supportive injectable drugs into pre-filled syringes. Those same syringes were then sent to physicians who treated cancer patients with drugs such as Procrit®, Aloxi®, Anzemet®,…

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