THE MARSTILLER FIRM SECURES LARGEST SETTLEMENT IN VIRGINIA’S HISTORY

Third Largest Settlement in the Nation Involving Health Care Fraud in 2010; and, 18th Largest Settlement Ever in the Nation Involving Health Care Fraud Since 1986.

$313,000,000 to settle criminal and civil charges that Forest Pharmaceutical, INC. illegally marketed anti-depressant drugs.

Forest Laboratories:

Philip S. Marstiller, Esq., President of the Marstiller Law Firm, announced that Forest Laboratories Inc. and it’s subsidiary Forest Pharmaceuticals Inc. paid approximately $313 Million to settle criminal and civil charges that the company marketed the anti-depressant drugs Celexa and Lexapro for unapproved pediatric use and paid off-label kickbacks to induce physicians to prescribe the drugs.

As part of the settlement, a guilty plea to criminal information was entered and Forest paid $149 Million to settle the civil claims.

This settlement arises from whistleblower complaints files against Forest under the qui tam provisions of the federal and state False Claims Acts alleging off-label promotion of the drugs and various forms of illegal remuneration for doctors, including cash payments disguised as grants or consulting fees, preceptorships, speaking fees, expensive meals and lavish entertainment and other valuable goods and services, all in violation of the federal anti-kickback act. The United States and several states intervened in these cases in 2009 and reached this settlement.

The Marstiller Law Firm on behalf of its client and whistle blower relator Christopher Gobble, a former Forest sales representative, filed suit against the company in March 2003.

See D.Mass Civil Action No. 03-10395-NMG.

Media Reportage:

New York Times:

http://www.nytimes.com/2010/09/16/health/16drug.html?_r=1&ref=forest_laboratories_inc

Bloomberg Businessweek:

http://www.businessweek.com/ap/financialnews/D9H2RD201.htm

Genetic Engineering & Biotechnology News:

http://www.genengnews.com/gen-news-highlights/guilty-by-admission-forest-pharm-forfeits-300m-for-selling-unapproved-drug/81243933/

Health News Digest:

http://healthnewsdigest.com/news/Legal_370/Forest_Pharmaceuticals
_Agrees_to_Guilty_Plea_for_Violating_FDA_Laws.shtml

Virginia Lawyers Weekly:

Click here to Read

Department of Justice:
http://www.justice.gov/opa/pr/2011/March/11-civ-270.html

Department of Justice press release:
Click Here to Read

For more news reportage on The Marstiller Firm, click here.