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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…

United States v. US Bioservices Corp. (Exjade Kickbacks)

US Bioservices Corp., a unit of AmerisourceBergen, paid $13.4 million to settle U.S. government claims that it pushed patients to refill prescriptions of Novartis AG’s iron overload drug Exjade in exchange for referrals and other benefits from Novartis, in violation of the False Claims Act. The government alleged that, from August 2010 to March 2012, federal and state Medicare and Medicaid programs were illegally billed for Exjade prescriptions stemming from US Bioservices encouraging patients to refill prescriptions by having its nurses call them with “one-sided advice,” emphasizing the dangers of not treating iron overload and downplaying Exjade’s side effects, and also by assigning a group of patient care coordinators to call Exjade patients and encourage them to order refills. US Bioservices agreed to pay $10.6 million to the federal government and $2.8 million to states. The government previously settled with the other participants in this kickback scheme, Novartis and Accredo Health Group.

Misconduct Type
Ethics
Enforcement Agency
Multiple Agencies
Contracting Party
None
Court Type
Civil
Disposition
Settlement
Date of Settlement Announcement
8/22/2017
Contractors Involved Penalty
Total
AmerisourceBergen $13,400,000
Further Information Released
Complaint 8/22/2017
U.S. Attorney Letter Announcing Settlement 8/22/2017

See also:

Federal Contractor Misconduct Database