Drug Fraud Cases on the Rise
Drug fraud cases are on the rise, and prosecutors have collected more than $30 billion for alleged fraud and illegal marketing over the last 20 years.
The fraud report was recently released by advocacy group Public Citizen. In total, these 239 cases amounted to less than two-thirds of the profits earned by the 10 biggest drugmakers in 2010.
According to the group, the most common allegation of consumer fraud was overcharging for state health plans, and the most costly was unapproved drug marketing.
State and federal attorneys have collected a record $6.6 billion through mid-July of this year.
Three industry giants (GlaxoSmithKline, Johnson & Johnson and Abbott Laboratories) have paid the majority of all penalties since November 2010. The federal False Claims Act allows government to collect damages reported by private citizens, and healthcare companies have accounted for around 80 percent of all settlements under this law.
Additionally, a new book, “Bad Pharma: How drug companies mislead doctors and harm patients,” is out on store shelves. Read an abstract of the pharmaceutical book here.
Have you been a victim of drug fraud? Call Sokolove Law today for a free legal consultation regarding a consumer fraud lawsuit.