Drug Maker admitted fraud, but the turnover prosper
Whats up with business, federal drug crime committed? For the nation No. 1 drug, the answer is: some pain, more profits.
Mid-May, Pfizer (PFE) Warner-Lambert division pleaded guilty to the sale of a drug Neurontin was illegal for the treatment of diseases for which it is not permitted. Pfizer, which do not own Warner-Lambert, if the government said that the bad pass is paid $ 430 million at the end settlement costs, including defrauding Medicaid.
Pfizer’s confession that one of his best success on drugs was a party to fraud May, humiliating, but it does not violate the bottom line. Neurontin last quarter, turnover increased by 32% a year ago, and 2004, last year the turnover of $ 2.7 billion. With few exceptions, governments for Medicaid programs pay only Neurontin as in the past and do so, the major insurers.
The tale of Neurontin shows how difficult it is for the dynamism of a blockbuster drug, the absence of supporting evidence, it is safe or not, control and costs of health care.
“They (Warner-Lambert) has his money, and it was cheap,” says Larry Sasich, a doctor of pharmacy consumer goods oriented Public Citizen Health Research Group, headquartered in Washington, DC, without monitoring Warner-Lambert executives, he said the $ 430 million fine is a good cost of the activity. “
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