> ## Content Index
> Fetch the complete content index at: https://www.fdaweb.com/llms.txt
> Use this file to discover other available public pages before exploring further.

# 3 Drug Firms Pay $122 Million Over False Claims
- URL: https://www.fdaweb.com/3-drug-firms-pay-122-million-over-false-claims/
- Published: 2019-04-05T12:00:00.000Z
- Updated: 2026-09-15T01:18:41.000Z
- Author: David McFarland
- Tags: Drugs, #legacy-id-D5143803

Jazz Pharmaceuticals, Lundbeck, and Alexion Pharmaceuticals have agreed to pay a total of $122.6 million to resolve allegations that they each violated the False Claims Act by illegally paying Medicare or Civilian Health and Medical Program co-pays for their own products through foundations that the companies used as “mere conduits,” the [Department of Justice (DoJ) says](https://www.justice.gov/opa/pr/three-pharmaceutical-companies-agree-pay-total-over-122-million-resolve-allegations-they-paid?ref=fdaweb.com). “The Anti-Kickback Statute prohibits a pharmaceutical company from offering or paying, directly or indirectly, any remuneration — which includes money or any other thing of value — to induce Medicare or ChampVA patients to purchase the company’s drugs,” according to DoJ. “This prohibition extends to the payment of patients’ copay obligations.”

DoJ says this type of misconduct is widespread, and “enforcement will continue until pharmaceutical companies stop circumventing the anti-kickback laws to artificially bolster high drug prices, all at the expense of American taxpayers.”

Jazz and Lundbeck each entered five-year corporate integrity agreements (CIAs) with the government, which require them to implement measures, controls, and monitoring designed to promote independence from any patient assistance programs to which they donate. In addition, the companies agreed to implement risk assessment programs. Alexion got a pass on the CIA because it made “sweeping and fundamental organizational changes following the bad conduct,” DoJ says. “The changes included hiring a new eight-member executive leadership team and changing half of the members of its board of directors. In addition, 40% of Alexion’s employees are new and the company relocated its corporate headquarters.”