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Schering to Pay $435 Million for the Improper Marketing of Drugs and Medicaid Fraud, Reports U.S. Attorney.

Article Excerpt
BOSTON, Aug. 29 /PRNewswire/ -- Delaware corporation SCHERING-PLOUGH CORPORATION,together with its subsidiary, SCHERING SALES CORPORATION have agreed to pay a total of $435,000,000 to resolve criminal charges and civil liabilities in connection with illegal sales and marketing programs for its drugs Temodar for use in the treatment of brain tumors and metastases, and Intron A for use in treatment of superficial bladder cancer and hepatitis C. The resolution also pertains to Medicaid fraud involving Schering's drugs Claritin RediTabs, a nonsedating antihistamine, and K-Dur, used in treating stomach conditions.

United States Attorney for the District of Massachusetts Michael J. Sullivan, Department of Health and Human Services Regional Inspector General Joseph Moraski, United States Food and Drug Administration Special Agent in Charge Mark Dragonetti, Department of Defense Criminal Investigative Service Special Agent in Charge Edward Bradley, and Department of Veteran's Affairs Special Agent in Charge Jeffrey Hughes announced today that SCHERING SALES CORPORATION will pay a $180,000,000 criminal fine and, together with SCHERING-PLOUGH CORPORATION, another $255,000,000 to settle civil liabilities. Today's global resolution ensures that the federal Medicaid program and each of the State Medicaid agencies which paid for prescriptions of Claritin RediTabs and K-Dur will obtain the benefit of the best price offered by Schering to commercial purchasers of those drugs, and will ensure that Schering pays appropriate damages for improperly promoting its drugs for uses not approved by the FDA and from offering or paying...

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