Pfizer Paid $2.3 Billion Over Illegal Drug Promotion and Health Care Fraud

Summary

In September 2009, Pfizer and subsidiary Pharmacia & Upjohn agreed to pay $2.3 billion to resolve criminal and civil liability arising from illegal promotion of pharmaceutical products. The Justice Department said Pharmacia & Upjohn pleaded guilty to a felony violation of the Food, Drug and Cosmetic Act for misbranding Bextra with intent to defraud or mislead. The criminal resolution included a $1.195 billion fine and $105 million forfeiture. Pfizer also agreed to pay $1 billion to resolve False Claims Act allegations involving illegal promotion of Bextra, Geodon, Zyvox and Lyrica and allegations that kickbacks were paid to health care providers to induce prescriptions. At the time, DOJ described the resolution as the largest health care fraud settlement in its history. Source: U.S. Department of Justice https://www.justice.gov/archives/opa/pr/justice-department-announces-largest-health-care-fraud-settlement-its-history