Prosecutors alleged that from 2012 to 2015 Mr. Babich conspired with others at Insys to pay physicians bribes in exchange for prescribing Subsys, an under-the-tongue fentanyl spray for managing severe pain in cancer patients.
Mr. Babich, who resigned as CEO in 2015, pleaded guilty in a Boston federal court to conspiracy and mail fraud charges. As part of his plea deal with prosecutors, Mr. Babich agreed to testify as a government witness.
While Mr. Babich faces up to 25 years in prison for his role in the bribery scheme, he may receive a more lenient sentence by testifying in the trial against Insys founder and former chairman John Kapoor.
Mr. Kapoor and four other Insys executives face trial later this month for their alleged participation in the scheme.
Read the full report here.
More articles on legal & regulatory issues:
Former Alabama legislator to plead guilty in healthcare fraud case
Federal shutdown delays Mayo Clinic’s lawsuit against IRS
Viewpoint: 3 HIPAA issues to watch in 2019
Becker’s 3rd Annual Fall Chief Pharmacy Officer Summit is the top tier event that the people leading the future of pharmacy convene. This 3-day event is built specifically for Chief Pharmacy Officers and senior pharmacy leaders. The sessions examine the workforce, financial and clinical priorities shaping pharmacy today. Becker’s is where candid discussions flourish and new ideas thrive. Becker's 3rd Annual Fall Chief Pharmacy Officer Summit
