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In the News Press Release

Omnicare to Pay $28M to Settle Kickback Allegations

Publisher: Bloomberg BNA's Pharmaceutical Law & Industry Report
October 18, 2016

Eric Fader was quoted in an article, "Omnicare to Pay $28M to Settle Kickback Allegations," in Bloomberg BNA's Pharmaceutical Law & Industry Report. The article discusses the $28 million settlement that Omnicare, a national pharmacy service provider, reached with the U.S. Department of Justice to resolve claims that it accepted kickbacks from Abbott Laboratories, a pharmaceutical manufacturer, to induce Omnicare to order one of Abbott's drugs. Fader said he's not sure how the companies thought they could get away with Abbott paying, and Omnicare accepting, volume-based rebates, kickbacks disguised as educational program contributions, paid Florida vacations and sporting event tickets, all of which violate federal law and long-standing published regulatory guidance. "This case is going to be taught in law school health law courses for a very long time because it has a little of everything, from a regulatory standpoint," Fader predicted.

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