Gilead settles kickback allegations for $97M

The Department of Justice alleged the drugmaker paid Caring Voice Coalition from 2007-10, and the charity used the money to cover out-of-pocket Letairis expenses for Medicare clients. It also accused Gilead of referring Medicare clients to the charity.

” Such conduct not only breaks the anti-kickback statute, it also undermines the Medicare programs co-pay structure, which Congress created as a protect against inflated drug prices,” U.S. Attorney Andrew Lelling said in a Sept. 23 DOJ press release. “During the duration covered by todays settlement, Gilead raised the cost of Letairis by over seven times the rate of general inflation in the United States.”.
The drugmaker issued a Sept. 23 declaration in which basic counsel Brett Pletcher said the settlement “is not an admission of guilt by Gilead and there was never any accusation in this case that clients who received help and medication did not need it or did not gain from it.”.

Katie Adams –
Thursday, September 24th, 2020

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The department purported Gilead made payments to cover the Medicare clients copays so Letairis price would not deter them from filling a prescription.

Gilead concurred to pay a $97 million settlement for accusations it utilized a charity to pay prohibited kickbacks to Medicare patients to cover copays for its hypertension drug Letairis.

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