A jury found that Johnson & Johnson, through its subsidiary Janssen, downplayed and concealed risks associated with its anti-psychotic drug Risperdal in violation of the Arkansas Medicaid Fraud False Claims Act and the Arkansas consumer fraud statute. Risperdal, a drug often prescribed to treat bipolar disorder, schizophrenia, and irritability in autism patients, has been associated with an increased risk of stroke and death in elderly dementia patients, as well as seizures, weight gain, and diabetes.
The judge presiding over the case ordered Johnson & Johnson to pay $1.19 billion under the Arkansas FCA, finding nearly 240,000 violations of the act, and $11 million under the state’s consumer fraud statute.
The company recently agreed to pay $158 million to settle Risperdal allegations in Texas and is contesting orders to pay $327 million in South Carolina and $258 million in Louisiana. Although a federal settlement was rumored to be close at one time, DOJ allegedly rejected a $1 billion offer from Johnson & Johnson as insufficient.
Read the entire articles, “Jury rules against J&J subsidiary in Arkansas”; “J.&J. Fined $1.2 Billion in Drug Case”