In April 1999, the Food and Drug Administration determined that Nitroglycerin SR lacked substantial evidence of effectiveness and published a notice proposing to withdraw approval of the product, which, according to the government, made the drug no longer eligible for reimbursement by government healthcare programs such as Medicaid.
The government further alleges that, from April 1999 continuing through Sept. 2008, Eon submitted false quarterly reports to the government that misrepresented Nitroglycerin SR’s regulatory status and failed to advise that Nitroglycerin SR no longer qualified for Medicaid coverage. As a result, the government contends, Eon knowingly caused false Medicaid claims to be submitted for Nitroglycerin SR.
The government’s allegations stem from a multi-defendant whistleblower action, United States ex rel. Conrad v. Eon Labs, Inc., et al. Under this settlement, the whistleblower will receive approximately $525,000.
Read the DOJ’s release on the Eon Labs False Claims settlement.
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