Lap dances, golf outings, spa treatments, and expensive dinners were just some of the perks allegedly offered by Victory Pharma Inc. in order to induce doctors to prescribe its drugs. Now the company has agreed to pay a total of $11.4 million to resolve allegations that it violated the federal Anti-Kickback Statute and the False Claims Act.
The case began as a qui tam suit filed by Chad Miller, a former sales representative for Victory Pharma. When the United States chose to intervene, Miller’s efforts gained the support of a constellation of federal agencies including the FBI, the Civil Division of DOJ, and the U.S. Postal Service. Miller is set to receive $1.7 million from the settlement as an award for blowing the whistle.
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