Posts Tagged ‘criminal’

Medicare fraud case nets dozens of arrests

Thursday, September 8th, 2011

“On Tuesday and Wednesday, federal agents fanned out across three South Florida counties, arresting a total of 42 Medicare fraud offenders. Three others charged are believed to be in Florida. The sweep came almost one year after the indictment of Miami-based American Therapeutic Corp., with seven regional clinics. A total of 24 defendants, including senior executives, psychiatrists and counselors, were charged, netting several guilty pleas and one trial conviction. That case alone accounted for $200 million in fraudulent Medicare claims during the past decade. ”

 

The Miami Herald – September 7, 2011 (Update)
by Jay Weaver

Federal agents busted 42 South Florida suspects on Medicare fraud charges as part of a Justice Department sweep targeting hotspots from Miami to Los Angeles.

The out-of-state patients, suffering from disabilities and addictions, were lured to South Florida with the promise of a roof over their head.

But once they arrived, with their valuable Medicare cards in hand, they would be squeezed into rundown assisted-living facilities and steered to purported mental-health programs — at a multimillion-dollar cost to taxpayers, authorities say. If they dropped out of the group therapy sessions, the ALF owners would toss the patients out into the street.

“They were down on their luck,” U.S. Attorney Wifredo Ferrer said, explaining how the latest Medicare scam would target patients from the Southeast. “Come on down, have a fresh start in Miami. But there was a catch.”

On Wednesday, Ferrer announced that federal agents arrested 42 suspects on Medicare fraud charges in South Florida, including the owners of Biscayne Milieu Health Center, a Fort Lauderdale psychiatrist who referred patients to the Miami Gardens clinic, patient recruiters and ALF landlords. Other defendants were operators of home healthcare agencies, HIV-therapy clinics and medical equipment businesses.

Collectively, they’re accused of submitting $160 million in false claims to Medicare for services that were either not needed or provided to patients. In turn, Medicare paid out more than $90 million, according to authorities.

The various South Florida indictments were unveiled as part of a Justice Department crackdown on Medicare fraud in hot spots such as Brooklyn, Detroit and Los Angeles, resulting in a total of 91 defendants being charged with $295 million in bogus billing.

The federal program, which caters to more than 40 million elderly and disabled patients, has been bleeding billions of dollars a year because of waste, fraud and abuse, according to healthcare experts and law enforcement.

Medicare officials recently unveiled new computer software weapons to screen prospective Medicare operators, including criminal background checks, and to scrutinize claims, which are regularly paid within 14 days. But the FBI’s special agent in charge of the Miami regional office said the massive healthcare agency needs to be far more aggressive to prevent the fraud up front.

“The FBI, Health and Human Services-Office of Inspector General and the U.S. attorney’s office devote vast resources to investigate, catch and prosecute those committing healthcare fraud,” said John Gillies, the FBI’s top South Florida agent. “But that’s addressing the problem after the fact. By then, the criminals have squandered away the money they stole.”

On Tuesday and Wednesday, federal agentsfanned out across three South Florida counties, arresting a total of 42 Medicare fraud offenders. Three others charged are believed to be in Florida.

The sweep came almost one year after the indictment of Miami-based American Therapeutic Corp., with seven regional clinics. A total of 24 defendants, including senior executives, psychiatrists and counselors, were charged, netting several guilty pleas and one trial conviction. That case alone accounted for $200 million in fraudulent Medicare claims during the past decade. The agency paid out $83 million.

This week, 10 more patient recruiters and others were charged as part of the conspiracy.

But the biggest case was the new indictment of Biscayne Milieu and 23 defendants, including the family owners, a psychiatrist, Dr. Gary Kushner, patient recruiters and ALF operators. The clinic owners are accused of paying recruiters and landlords to lure out-of-state patients into the scheme.

Among those charged: Antonio and Jorge Macli, the father and son who owned the clinic in an office park off the Palmetto Expressway. Since 2007, authorities say, Biscayne Milieu submitted $50 million in fraudulent Medicare bills, resulting in $11 million in payments.

Read the rest of the article here:  http://www.miamiherald.com/2011/09/07/2394354/dozens-arrested-in-medicare-mental.html#ixzz1XNnx5ZoS

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Risperdal drug maker faces $1B in lawsuits, yet mother charged for refusing use on child

Tuesday, August 16th, 2011

NaturalNews – August 16, 2011

by Monica G. Young

Click image to visit CCHRInt's Psychiatric Drug Side Effects Search Engine

What irony. Detroit mother, Maryanne Godboldo, was just charged with child neglect for refusing to obey a Child Protective Services order to give her daughter Risperdal, a powerful psychoactive drug. Meanwhile federal and multiple state prosecutors are suing Johnson & Johnson for deceptively marketing the drug – including mismarketing its use on children – and hiding dangerous adverse effects. J&J now faces a potential $1 billion in damages.

Having earlier observed the drug’s dreadful effects on her child, Maryanne was correctly pursuing holistic treatment for the child instead when the legal battle began. The jury’s ruling, now handed down against the mother, is not only a travesty of justice, but a reflection of psychopharma’s vast propaganda machine. (http://www.naturalnews.com/033295_p…)

Fortunately not everyone is fooled. The US Department of Justice (DOJ) has been investigating J&J for years in regards Risperdal – its sales practices, pay-offs to doctors to promote the drug, and failures to disclose harmful effects. The pharma giant has now tentatively agreed to settle a misdemeanor criminal charge, however the DOJ and US attorney’s office are pursuing additional criminal actions.

The government plans to join civil lawsuits filed by company whistleblowers, aiming to recover millions of dollars paid for prescriptions via government health programs like Medicare and Medicaid.

Already multimillions in fines have been levied against J&J for this powerful antipsychotic which is widely prescribed not only for schizophrenia but mood and anxiety disorders, dementia and other unapproved uses.

In June, a South Carolina judge demanded the company pay $327 million to the state for deceptively marketing Risperdal and concealing its dangers. The judge called J&J’s practices “detestable.” Last October, a Louisiana jury ordered the company to ante up $257.7 million for misleading claims about the drug’s safety.

Recently, Massachusetts Attorney General joined the fight, filing a lawsuit against J&J for illegal marketing and failing to disclose “an increased risk of death” connected with the drug.

In Texas the Attorney General Office has joined forces with whistleblowers, with a jury trial scheduled for this fall. This lawsuit alleges that Janssen, J&J’s pharmaceutical division, intentionally marketed Risperdal for use on children even though it was only approved for adult schizophrenia. The suit also involves a company scheme to boost prescriptions by paying hundreds of thousands of dollars to “experts” to evaluate and recommend the drug state-wide and nationally. Awarded damages are anticipated to be much larger than in South Carolina or Louisiana. Texas has paid more than $500 million for the drug since it was first brought to the market.

Attorneys general in about 40 other states have shown interest in suing the company.

Users speak out – beware of this drug!

(Note from CCHRInt –search Risperdal or antipsychotic drug side effects in CCHR’s Psychiatric Drug Database here http://www.cchrint.org/psychdrugdangers/drug_warnings.php – simply type in Risperdal  in the Red Search box or choose it from the drop down menu)

Risperdal’s documented “side effects” include huge weight gain, diabetes, lethargy, muscular tics, breast development in males, and many more.

Below are just a few sample statements made online by individuals from their experience with this so-called “medication” (the root word of medicate means “to heal”):

“Basically I lost the drive for everything. Total shut down to my outgoing personality. Massive weight gain.”

“Tardive dyskinesia [involuntary movement disorder], diabetes, gained 100 pounds in the first year, was a zombie… I was put on this nightmare drug when I was six. I was forced to take it against my will, and it ruined my life… This is a horrible, HORRIBLE drug, and should be banned.”

“Apathy, not talking, just staring, sleeping constantly, tongue movements, loss of sexual function. This is a very BAD DRUG…a mental straight jacket. DO NOT put children on this drug!!! It’s poison.”

“I gained weight, became very tired, and of course that just led them to put me on antidepressant medications…. I have been on it since fifth grade and hardly knew what was happening to me.”

“My son has gained over 100 pounds… He was an excellent student, received a doctorate and now cannot even remember what he studied. He sleeps all day and cannot work a job. His quality of life is nil. His mouth twitches and he has no control over it… It is like taking a dose of legalized poison every day. This is a LIFE WASTED AND RUINED, a brilliant mind destroyed and tortured. As a mother, it rips out my heart every day.”

Yet per Johnson & Johnson annual reports, global Risperdal sales from 1994-2010 totaled nearly $29 billion.

http://www.naturalnews.com/033336_Risperdal_child_neglect.html

Sources for this article include:

http://www.google.com/hostednews/ap…

http://www.thefix.com/content/jj-su…

http://www.reuters.com/article/2011…

http://www.kxan.com/dpp/news/invest…

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Dosed in juvie jail: Troubled doctors hired to treat kids in state custody

Monday, June 20th, 2011

By Michael LaForgia

Palm Beach Post Staff Writer

By the time Florida started paying Dr. Gold Smith Dorval to counsel and medicate jailed children, the Pembroke Pines psychiatrist already had experience with kids in state custody.

He had used them, authorities said, to bilk the government out of money for the poor.

When Dorval pleaded no contest to a felony grand theft charge, it should have barred him, by law, from working for Florida’s Department of Juvenile Justice.

It didn’t.

And, like Dorval, other doctors have emerged from past troubles and gotten jobs at DJJ – with authority to prescribe drugs to kids in state jails, a Palm Beach Post investigation has found.

Some psychiatrists took DJJ jobs after they were cited for breaking the law, making grave medical missteps or violating state rules. Others were hired after they were accused of overmedicating patients, sometimes fatally.

All were empowered to prescribe drugs to jailed kids as powerful antipsychotic pills flowed freely into Florida’s homes for wayward children.

“It’s appalling. A psychiatrist is a psychiatrist. They’re licensed, they’ve been to medical school, and there is a certain trust placed in that person’s judgment when they tell you that this child needs to be medicated,” said John Walsh, an attorney with the Palm Beach County Legal Aid Society who has represented children in juvenile court. “This just illustrates that we always have to be on guard with children.”

In two years, Florida bought hundreds of thousands of tablets of Seroquel, Abilify, Risperdal and other antipsychotic drugs for children housed in state-run jails and programs. The meds were administered in a juvenile justice system that doesn’t track prescriptions and has no way of telling whether doctors are prescribing to make kids easier to control.

In some jails and homes, pills were prescribed by psychiatrists who took huge speaker fees from companies that make antipsychotic drugs, The Post found. In others, the task fell to doctors with troubled pasts.

In response to the newspaper’s first reports, published last month, DJJ Secretary Wansley Walters launched an investigation into the department’s use of antipsychotic drugs. DJJ officials declined to discuss The Post’s latest findings, citing the probe.

Spokesman C.J. Drake acknowledged, though, that the department has struggled to find psychiatrists willing to work in jails and programs. He also said DJJ sometimes has relied on companies that employ a stable of doctors, rather than signing a contract with a single physician.

As a result, Dorval went to work in a Broward County jail for children – even though he would have failed a state-mandated background check required by the contract.

Doctor’s bogus billings

In the late 1990s, Dorval claimed he was providing juvenile delinquents and other vulnerable children with needed therapy. Instead, state investigators said, he used bogus counselors to bill Medicaid for more than $350,000 in fraudulent claims.

He charged the government for offering more than 24 hours’ worth of children’s therapy in a single day, investigators said, and structured the scheme around kids who were homeless or in DJJ custody or foster care.

He tended to bill “for those children that the system ‘lost,’ ” according to an affidavit for his arrest.

Originally charged with four felonies in Broward, Dorval pleaded no contest to one count of grand theft in 2004.

Later, to keep his medical license, he agreed to pay $10,000 and was suspended, reprimanded and put on four years’ probation.

Although a judge withheld a formal finding of guilt, the plea disqualified Dorval from seeing patients in a juvenile jail. Even so, his employer, Miami-based Compass Health Systems, sent him to work at the Broward Juvenile Detention Center between August and December 2007.

No one screened his background beforehand.

In written responses to questions, Dorval said he was doing as he was told when Compass sent him to work in the Broward juvenile jail.

“At that period you cited, the psychiatrist that was seeing patients at the DJJ was out. Therefore I was designated by the management office to go and cover for that psychiatrist, until they switched me again to another place. I was not aware of any wrongdoing,” wrote Dorval, who stressed that he never signed a contract with DJJ. “I am only an employee. Wherever they send me to work I have to go.”

As for the criminal charges, he offered this explanation: “This case was a simple matter that became complicated, because my first lawyer messed me up.” After wrangling over the facts, “they decided to offer me a plea that would allow me to get a chance to fight for my license to practice medicine,” he wrote. “It was a real nightmare that generated in me a post-traumatic syndrome that I will never forget.”

DJJ officials declined to comment on Dorval’s hiring, again citing the investigation.

Compass officials didn’t respond to questions about Dorval.

DJJ had no contract with Compass as of May, records show.

Patient’s death missed in screening

In state-operated jails and programs, the rules say DJJ must screen doctors’ backgrounds and verify that physicians’ hold valid medical licenses. In privately run programs, which house the majority of children in the department’s custody, that responsibility falls to contracted companies.

Such screenings don’t catch everything: Doctors who kept their licenses after the state accused them of serious lapses have gone on to work in juvenile jails and homes.

Dr. Charles J. Dack is an example. For six years, Dack, a Lakeland-based physician who is board-certified in addiction and child psychiatry, prescribed a cocktail of antidepressants and powerful painkillers, including methadone and morphine, to a patient named Mary Tuxbury.

Eventually, Dack ramped up the doses of pills Tuxbury was taking, keeping her “at a toxic level of morphine for approximately two and a half years,” regulators from the state health department said. In March 2002, Tuxbury was found dead. She was 42.

An autopsy showed she died of “multiple drug intoxication, namely opiates and tricyclic antidepressants.”

Regulators charged Dack with failing to meet care standards and inappropriate prescribing. Dack settled the allegations in August 2007. He admitted no wrongdoing but agreed to pay a $7,000 fine and complete a course on “misprescribing” drugs.

A year later, he was hired to care for children at three privately run programs in Central Florida: Wilson Youth Academy, Peace River Youth Academy and New Beginnings Youth Academy. He worked in the homes until April.

Dack didn’t respond to messages seeking comment.

Doctor hired after child’s death

Other DJJ doctors weren’t cited by regulators, but they were accused in court of fatal neglect. Roughly one in eight of the psychiatrists who have worked for DJJ in the past five years has settled a malpractice lawsuit in Florida, records show.

Among these was Dr. Samuel McClure. As a psychiatrist in Orlando, McClure diagnosed an 11-year-old boy named David Morganthal with attention deficit disorder. He prescribed powerful, mind-altering drugs for David – even though the child was much smaller than other kids his age, according to court documents.

One morning in November 2001, David’s mother woke to find her son dead on the floor of her double-wide mobile home. When they laid David out at the morgue, he measured less than 4-foot-2 and weighed 49 pounds.

Lab tests showed his blood contained an unusually high concentration of an antidepressant: about 60 percent more of the medication than doctors had expected.

The drug, mirtazapine, still hasn’t been approved as safe for children. David was taking the drug along with another antidepressant that hasn’t been approved for kids, citalopram.

The autopsy concluded the boy probably died from a seizure and heart problems caused by “reaction to prescription medication.”

Read the rest of the article here: http://www.palmbeachpost.com/news/state/dosed-in-juvie-jail-troubled-doctors-hired-to-1549240.html?viewAsSinglePage=true

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Court files prove Mom had full legal authority to stop administering dangerous drugs to daughter; CPS raid nothing but illegal kidnapping

Tuesday, April 26th, 2011

Natural News April 26, 2011

by Ethan Hunt

New developments in the case of Maryanne Godboldo — the Detroit, Mich., woman whose house was recently raided by a SWAT team with a tank, and whose daughter was subsequently kidnapped by these armed terrorists — are set to hopefully clear the mother of any wrongdoing in the matter (http://www.naturalnews.com/032090_M…).

Recently-released court documents prove that the consent form Maryanne signed agreeing to give her daughter the highly-dangerous anti-psychotic drug Risperdal was optional, and that she was always free to cease using them at any time.

In other words, the raid conducted by state-sanctioned thugs on behalf of Child Protective Services (CPS) was nothing more than an illegal kidnapping by armed terrorists who violated Maryanne and her family’s legal, civil, and God-given rights. At this point, Maryanne truly has a fully-validated case against CPS and its criminal cabal, should she decide to pursue aggressive legal action against them. After all, they illegally broke into Maryanne’s home and proceeded to kidnap her child without just cause.

The consent document Maryanne signed clearly states that she would “not be forced” to administer the medication, and that her daughter was free to “stop taking it at any time.” Maryanne had also consulted with another doctor, who recommended that she stop using the deadly drug and instead pursue alternative options — which clearly proves that the child was not being neglected as some have accused.

“I think that document proves our case,” said Wanda Evans, Maryanne’s lawyer in the case. “She understood she had a right to stop giving the medication. If you sign an informed consent that says you can stop, and you stop, you did the right thing, and CPS is just being nasty.”

According to reports, Maryanne’s daughter, Ariana, is still being held in captivity at a CPS facility in Northville, Mich. Supporters from around the country continue to raise money to help Maryanne’s legal battle to free her daughter, and you can help support these efforts by visiting:
http://justice4maryanne.com/
Sources for this story include:

http://www.cchrint.org/2011/04/22/c…

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Mother Forced Into Stand Off With Police for Refusing to Adminster Antipsychotic Drug to Daughter

Wednesday, March 30th, 2011

Note from CCHR:  So its come to this… A Detroit mother is forced into a stand off with police,  because she refused to administer Risperdal—a powerful and potentially lethal antipsychotic drug to her daughter.   Child Protective Services were going to take her child away from her, for refusing to administer a drug that could potentially kill her.  And while the newscast below describes side effects of Risperdal as anxiety, fatigue and restlessness, they omit the fact that international drug regulatory agencies warn Risperdal can cause  seizures,  cancer, tumors, stroke, abnormal bleeding, blood clots, diabetes and sudden death ( http://www.cchrint.org/psychdrugdangers/drug_warnings.php – Search both Risperdal in the search box and Newer Antipsychotics in the drop down menu). So ask yourself,   what would you do if the authorities came to your home to take your child away, stripping you of all parental rights, and forcing your child to take a drug that could kill them.   And while the mother now faces felony charges,  we have a question we’d like answered—what charges are the psychiatrists/doctors and Child Protective Services agencies going to face if  her child dies as a result of taking the antipsychotic drug being forced on her?  Will police show up at their door to arrest them?  Will they be charged with murder?  Why are the doctors/psychiatrists and “child protective” agencies that prescribe these drugs,  knowing the risks,  never held accountable?  That is the real crime in all of this.  Watch the video.

UPI.com
March 28, 2011

Click the video to watch

DETROIT, March 28 (UPI) — A woman arrested after a 10-hour standoff with Detroit police says she was protecting her 13-year-old daughter from unnecessary medication.

Maryanne Godboldo, 56, is accused of barricading herself inside her home with her daughter and a gun after Child Protective Services workers tried to serve a warrant last week to remove the girl because the Godboldo had withheld her medication, The Detroit News reported Monday.

Godboldo faces charges of firing a weapon in a dwelling, felonious assault, resisting and obstructing an officer, and use of a firearm in the commission of a felony, the newspaper said.

Godboldo’s family and supporters said she has the right to make medical decisions for her daughter and that child welfare workers exceeded their authority.

Originally schooled at home, the daughter wanted to attend middle but needed to catch up on required immunizations.

“We believe she had an adverse reaction to her immunizations,” Maryanne’s sister Penny Godboldo said.

Godboldo sought help from The Children’s Center, an organization that helps families with at-risk children, where a medical and mental health treatment plan was prescribed.

Godboldo told relatives medications ordered by a doctor worsened symptoms, including behavioral problems.

“Maryanne’s decision to wean her from that was making a difference, making her better, helping her to be a happy kid again,” Mubuarak Hakim, the girl’s father, said.

A preliminary hearing has been set for April 8.

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Justice to Pharma: “Do the Perp Walk!”

Wednesday, November 17th, 2010

PharmaExec.com – November 17, 2010

by Walter Armstrong

Former GSK counsel is the first target in government’s executive-liability crackdown. Could J&J be next?

The US Department of Justice filed criminal charges last week against Lauren Stevens, a former VP and assistant general counsel at GlaxoSmithKline. Going after pharma execs marks a seismic shift in the government’s efforts to stem the tide of fraud and other illegal pharma marketing practices, which a raft of billion-dollar settlements have so far failed to end. Stevens is charged with obstruction of an investigation, concealment and falsification of documents, and making false statements to the FDA in its 2002 investigation of off-label promotion of the antidepressant Wellbutrin for weight loss, an indication for which it has never been approved but has shown some clinical benefit. The DoJ says that it has evidence, in the vast paper and electronic documentation turned over by GSK, showing that Stevens hid and otherwise misled the agency about some 1,000 instances of GSK-paid doctors promoting Wellbutrin for weight loss to other doctors.

Officials had warned that they would target “repeat offenders,” and GSK certainly qualifies for that dubious distinction. The British firm has racked up some of the biggest settlements of the past decade, including $750 million in October to put to rest civil and criminal charges arising in part from a whistleblower suit filed by a quality-control cop who was fired after she advised temporarily shutting down one of its major manufacturing plants because it was routinely producing adulterated drugs (and selling some of them on the black market) between 2001 and 2005. GSK execs chose instead to look the other way. The former compliance advisor’s cut of the settlement was a record-setting $96 million.

In fact, GSK has been making headlines for all the wrong reasons this year: Prior to the whistleblower suit settlement news came the denouement of the Avandia side effects case revealing that the company had failed to disclose damaging data and otherwise misled the FDA about the diabetes drug’s heart-attack risks.

But the new charges against a former VP in its legal department and all the bad press are almost certainly coincidental, says Daniel Carpenter, a professor of political science at Harvard and leading expert on the FDA. “I am not inclined to read anything political into the fact that it is a Glaxo employee,” he says. “The real symbolic feature of this action is the general message that any criminal proceeding sends to the pharmaceutical industry, namely that the FDA general counsel is now willing to use criminal proceedings—something it has had the power to do for seven decades.” Lauren Stevens, who was said by a GSK spokesperson to be “retired,” has hired a high-profile team of defense attorneys who told the media that their client was innocent and looking forward to her day in court. Be that as it may, if convicted, Stevens could spend at least some of her retirement years in the slammer because the charges are felonies carrying lengthy prison sentences.

BNet’s Jim Edwards has raised the possibility on his Placebo Effect blog that the DoJ may offer Stevens immunity for spilling the beans on other misdeeds at GSK, especially those committed by top management. That lineup include, of course, several of the industry’s most powerful players: former GSK CEO Jean-Pierre Garnier; his successor in 2008, Andrew Witty; Chris Veihbacher, who was GSK’s head of US pharmaceuticals from 2003 to 2008, when he became the CEO of Sanofi-Aventis; and David Stout, the head of global pharma operations from 2003 to 2008.

But the most probable scenario, according to Pharm Exec’s legal sources, is that the DoJ has picked a first case that it is confident it can win a conviction in. And Stevens is likely merely the first shoe to drop. It is widely assumed that the coming months will offer other executives at other firms the opportunity to do a perp walk, with some insiders betting that J&J is next on deck following recent congressional hearings into the company’s recent series of OTC product recalls, including a “phantom” recall of defective Motrin during which consultants posing as consumers attempted to buy out the product.

Slammed for failing to announce an official recall in a speedy fashion, FDA deputy commissioner Josh Sharfstein told Congress last June that J&J had misled the agency about the scope of the retrieval, not to mention its bizarre counterfeit style. But when J&J CEO William Weldon took the hot seat, he countered that his firm had informed the agency of its plans.

One of the two men is lying to Congress, so this line of speculation goes, and if it’s Weldon, the FDA may be expected to pounce—calling its no. 2 a liar only adds insult to injury.

http://blog.pharmexec.com/2010/11/17/lauren-stevens-charged-with-obstruction/

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Booming Sales of Antipsychotic Drugs Often Fueled by Illegal Marketing Tactics

Wednesday, October 6th, 2010

FairWarning, October 6, 2010

By Jessica Roberts 

Antipsychotic drugs, once used to treat only the most serious mental illnesses, have emerged as the top-selling class of pharmaceuticals in the U.S., generating annual revenue of about $14.6 billion. Yet much of the sales boom has been achieved with illegal or controversial marketing tactics by major pharmaceutical companies to promote uses of the drugs that have not been approved by the U.S. Food and Drug Administration.

The result, according to an account by The New York Times, is that every major manufacturer of antipsychotic drugs — Bristol-Myers Squibb, Eli Lilly, Pfizer, AstraZeneca and Johnson & Johnson  — has recently settled criminal or civil government cases for hundreds of millions of dollars or is under investigation by the Department of Justice for possible health care fraud. The criminal fines paid by Eli Lilly and Pfizer last year set records last year for the largest criminal fines ever imposed on corporations, although in the case of Pfizer, the case was built only partly on the marketing of an antipsychotic drug.

In their defense, the companies say that they follow tight business ethics guidelines and that all possible side effects of their medicines are fully disclosed. Recently, however, the government has warned that some of the drugs may be fatal for older patients and have unknown effects on children. And critics question how drugs approved by the agency for use by 1 percent of the population, to treat illnesses such as schizophrenia and bipolar mania, could have turned into top sellers, prescribed for everyone from preschoolers to octogenarians.

At least part of the answer lies in the companies’ marketing tactics. The Times reports that civil and criminal lawsuits against big pharmaceutical companies have revealed hundreds of documents showing that some company officials knew they were using questionable tactics when they marketed these powerful, expensive drugs.

According to analysts and court documents, these tactics have included payments, gifts, meals and trips for doctors, biased studies, and ghostwritten medical journal articles. These all are meant, federal investigators say, to promote the benefits and downplay the risks of the drugs, while encouraging off-label uses — that is, uses the FDA has not approved but which doctors, if they choose, can pursue with their patients anyway.

Drug companies skirt restrictions on promoting off-label uses by hiring consultants, researchers and educators to handle the job, delivering the marketing message verbally and through company-sponsored studies. “They can give a small hint, and people will take the bait,” Dr. Robert Rosenheck, a professor of psychiatry and public health at the Yale School of Medicine, told the Times. “Psychiatric disorders are vaguely defined enough that you can stretch definitions.”

The Justice Department claims drug companies trained sales representatives to rebut valid medical concerns about unproved uses of antipsychotic drugs. For example, the department says, Eli Lilly produced a video called “The Myth of Diabetes” to sell Zyprexa, which became its all-time best-selling drug, even though evidence showed that Zyprexa could cause diabetes.

Read the rest of this article here: http://www.fairwarning.org/2010/10/booming-sales-of-antipsychotic-drugs-often-fueled-by-illegal-marketing-tactics/

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Doctor Who Criticizes Senators For “Attacking” Pharma in Washington Times Article Failed to Mention He’s Served Prison Time for Fraud

Thursday, March 4th, 2010

By Allen Jones
Former Investigator,
Pennsylvania Office of the Inspector General

On March 4, 2010, The Washington Times posted a scathing op-ed by Dr. Gilbert Ross in which Ross slammed Senator Grassley, Senator Baucus and FDA Whistleblower David Graham.   In a rambling tirade Ross accuses the trio of tinkering with the practice of medicine by unfairly criticizing pharmaceutical companies and defends GlaxoSmithKline (GSK) and their discredited drug Avandia.

Ross fails to disclose that he has a personal reason for being angry with the Federal Government. In June of 1993, Ross was found guilty in Federal Court of 13 counts of fraud in a scheme to operate medical clinics for the purpose of obtaining payments directly and indirectly from the Medicaid system. He served 2 years in Federal Prison. http://w3.health.state.ny.us/opmc/factions.nsf/0522fed2dd2160ff852568c0004e894a/85b1e5abf211b2a585256a4a0047eb10/$FILE/ATTH2LGV/lc116347.pdf

Ross is identified as “medical director of the American Council on Science and Health,” but Ross discloses no financial ties to GSK.  The ACSH website however acknowledges that 40% of ACSH’s budget comes from “corporations.”  Does this include Pharma funding? http://www.acsh.org/about/pageID.85/default.asp

It is disgraceful that The Washington Times would post Ross’ criticism of great men and their worthy cause without disclosing very relevant facts relating to Ross’ credibility.

Allen Jones worked as an investigator in the Pennsylvania Office of the Inspector General (OIG), and gained widespread national and international attention as a whistleblower after uncovering pharmaceutical industry payments to government officials for the purpose of implementing a national mental health screening/psychotropic drug treatment plan based on the controversial Texas Medication Algorithm Project (TMAP). In May 2004, the British Medical Journal reported Jones had uncovered evidence major drug companies sought to influence government officials.

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