The Department of Justice has joined a 2002 whistleblower case alleging that Healthpoint marketed an ineffective and unapproved drug to healthcare providers, resulting in more than $90 million in Medicaid and Medicare payments.

Over several years, Healthpoint told healthcare providers that Xenaderm removed dead tissue from wounds and burns. However, the FDA claims that the only active ingredient in the drug was deemed ineffective in 1972, and its approval was withdrawn.

The lawsuit alleges that many products offered by Healthpoint are unapproved or ineffective and according to one Healthpoint researcher, the company’s safety and efficacy data for Xenaderm was “not just lacking, but cruelly inefficient.”