Guilty Pleas in Drug Kickback Conspiracy

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The Department of Justice (DoJ) says an Ohio doctor and a former drug company representative have each pleaded guilty to one count of conspiracy to solicit, receive, offer, and pay healthcare kickbacks. A department statement says Deepak Raheja, Hudson, OH, a doctor specializing in psychiatry and neurology with a practice in Cleveland, OH, and Frank Mazzucco, Dublin, OH, who was a regional business manager supervising sales representatives for Avanir Pharmaceuticals in the region where Raheja practiced, were involved in the scheme in which Raheja wrote prescriptions for a drug to patients who did not have the condition in exchange for money and other items of value.

The DoJ says Avanir manufactured Nuedexta, which is FDA approved solely to treat pseudobulbar. Court documents state that between 2/2011 and 7/2016, Raheja, Mazzucco, and other codefendants conspired to increase the number of prescriptions Raheja and other coconspirators wrote for Nuedexta in exchange for the payment of monetary kickbacks and other items of value.

According to the documents, Avanir promoted Nuedexta through a speaker’s bureau that Raheja joined in 2/2011. He reportedly gave some 211 presentations on the drug between 10/2011 and 4/2016 and was paid about $331,550 from Avanir. At the time, he wrote about 10,086 Nuedexta prescriptions, the highest in the country.

The DoJ says that as part of the conspiracy Mazzucco and other codefendants incentivized doctors to write Nuedexta prescriptions through various means, such as arranging speaker’s bureau programs, which were mostly social events; honoraria payments; the falsification of sign-in sheets from speaking engagements to maximize payments, and providing food and beverages to doctors and their office staff.

As part of a plea agreement, the DoJ says, Raheja has agreed to a sentence of 30 months in prison, surrendering his medical license, at least $1,178,460.40 in restitution, and a fine to be determined.

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