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# Celgene Agrees to Pay $280 Million Over Promotion Violations
- URL: https://www.fdaweb.com/celgene-agrees-to-pay-280-million-over-promotion-violations/
- Published: 2017-07-26T12:00:00.000Z
- Updated: 2026-09-14T22:36:25.000Z
- Author: David McFarland
- Tags: Drugs, #legacy-id-D5139230

Celgene has agreed to pay $280 million to settle a False Claims Act suit related to the promotion of two cancer treatment drugs for unapproved uses, according to the [Justice Department](https://www.justice.gov/usao-cdca/pr/celgene-agrees-pay-280-million-resolve-fraud-allegations-related-promotion-cancer-drugs?ref=fdaweb.com). The settlement resolves whistleblower allegations brought by former Celgene sales manager **Beverly Brown** that the company violated the law by submitting false claims to Medicare. The lawsuit also alleged that Celgene violated the laws of 28 states and the District of Columbia by submitting fraudulent claims to state health care programs. Under the agreement, Celgene will pay $259.3 million to the U.S. and $20.7 million to the 28 states and the District of Columbia.

  
The government alleged that Celgene had promoted Thalomid and Revlimid for uses not approved by FDA and not covered by federal health care programs. It also alleged the company made false and misleading statements about the drugs, and paid kickbacks to physicians to induce them to prescribe the drugs.