Arkansas Judge Tim Fox found J&J and its subsidiary, Janssen, committed more than 238,000 violations of Arkansas’ Medicaid fraud laws while marketing Risperdal in a roughly four-year time span, beginning in 2002. The judge implemented a fine of $5,000 for each violation. The combined penalty is 11 percent of J&J’s 2011 net income.
A spokesperson for the Janssen unit of J&J said the company is “disappointed with the judge’s decision on the penalties.” The company plans to appeal if its motion for a new trial is denied.
More Articles on Pharmaceutical Companies:
Pfizer Nears Settlement Over Alleged Bribery
GlaxoSmithKline Settles Case Over Drug Pricing, Marketing With $3B
Pfizer Resolves False Claims Allegations With $14.5M Settlement
At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.