Rotten Company

Astellas U.S. subsidiary paid $100 million to settle Medicare copay-kickback allegations

Company: Astellas Pharma Inc.

Summary

On April 25, 2019, Astellas Pharma US Inc., a U.S. subsidiary of Astellas Pharma Inc., agreed to pay $100 million to resolve False Claims Act allegations involving copay-assistance foundations. The government alleged that from July 2013 through December 2014 Astellas used foundation funds as conduits to cover Medicare copays for Xtandi and promoted the funds as an advantage for its drug. DOJ expressly states that the resolved claims were allegations only and there was no determination of liability. Primary source: https://www.justice.gov/archives/opa/pr/two-pharmaceutical-companies-agree-pay-total-nearly-125-million-resolve-allegations-they-paid ; subsidiary relationship: https://newsroom.astellas.com/us-news?l=10&o=280