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Federal Contractor Misconduct Database (FCMD)
The federal government routinely awards contracts to companies with
histories of misconduct, including
…
contract fraud and other
violations. POGO believes that providing this website will help to
improve contracting decisions and increase public knowledge of how
the government spends billions of taxpayer dollars each year.
Read more…
Fraudulent Pricing of Claritin (Criminal)
Schering-Plough subsidiary Schering Sales Corporation pleaded guilty to violating the Anti-Kickback Act and paid a fine of $52.5 million in connection with the illegal and fraudulent pricing of its allergy drug, Claritin. The government alleged that Schering Sales offered and paid a health maintenance organization (“HMO”) a $1.8 million kickback to induce the HMO to keep Claritin on its formulary, a list of drugs that the HMO covers for its beneficiaries. Schering-Plough agreed to pay more than $290 million to resolve civil False Claims Act liabilities in the matter. (See related Schering-Plough instance, “Fraudulent Pricing of Claritin (Civil)”.)
- Misconduct Type
- Government Contract Fraud
- Enforcement Agency
- Multiple Agencies
- Contracting Party
- Health and Human Services
- Court Type
- Criminal
- Disposition
- Pleaded Guilty
- Date of Announcement
- 7/30/2004