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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…

Neurontin Marketing and Sales Practices Litigation

In March 2010, a federal jury determined that Pfizer violated the Racketeer Influenced and Corrupt Organizations Act (RICO) by promoting its epilepsy drug Neurontin (manufactured by Warner-Lambert Company, which Pfizer acquired in 2000) for unapproved uses and imposed $47.4 million in damages (tripled to $142.1 million under RICO). The lawsuit alleged that Pfizer knowingly marketed Neurontin as an effective treatment for neuropathic pain, migraines, and bipolar disorder without proof of its efficacy. In November 2010, the court found Pfizer also liable under the California Unfair Competition Law and ordered Pfizer to pay $95.3 million in restitution, but because this figure reflected the same damage claims encompassed by the jury verdict on the RICO claim, the court did not add it to the jury award. In May 2014, Pfizer paid $325 million to settle claims in the same matter filed by third-party payers (insurers and other healthcare benefit providers) who bought or reimbursed patients for the purchase of Neurontin. See related Pfizer instance, “Illegal Marketing of Neurontin”.

Misconduct Type
Health
Enforcement Agency
Non-Governmental
Contracting Party
None
Court Type
Civil
Disposition
Judgment Against Defendant
Date of Final Judgment
11/3/2010
Contractors Involved Penalty
Total
Pfizer, Inc. $467,089,276
Further Information Released
Settlement Agreement (3rd Party Payers) 5/28/2014
Court Judgment 11/3/2010

See also:

Federal Contractor Misconduct Database