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In Risperdal Kickback Case, One Nursing Home Patient Received 67 Different Drugs

By Jim Edwards | Nov 5, 2009

The scariest wrinkle in the Omnicare kickback case is just how vulnerable old people in nursing homes are to schemes in which drug companies allegedly induce pharmacies to prescribe drugs they otherwise wouldn’t. The DOJ said that “J&J’s kickbacks to Omnicare took multiple forms, including rebates that were conditioned on Omnicare engaging in an “Active Intervention Program” for Risperdal and payments disguised as data purchase fees, educational grants, and fees to attend Omnicare meetings.”

One patient cited by the government’s complaint received 67 — sixty-seven! – different drugs under Omnicare’s “care” (see list below). Those drugs included Cipro, Neurontin, Heparin, Pepcid, Oxycodone and Seroquel or their generics, according to  the complaint.

Omnicare, the country’s largest nursing home pharmacy chain, paid $98 million to settle the case. The WSJ Health blog noticed that the government accused J&J of paying kickbacks — such as questionable rebates — to Omnicare in order to persuade Omnicare to implement an “Active Intervention Program” for Risperdal.

In Johnson & Johnson’s 10-Q, the company disclosed:

In September 2005, Johnson & Johnson received a subpoena from the U.S. Attorney’s Office, District of Massachusetts, seeking documents related to sales and marketing of eight drugs to Omnicare … Several employees of the Company’s pharmaceutical subsidiaries have been subpoenaed to testify before a grand jury in connection with this investigation.

In April 2009, Johnson & Johnson was served with the complaints in two civil qui tam cases relating to marketing of prescription drugs to Omnicare, Inc.

Among the results of Omnicare’s scheme was that a single patient in a nursing home in Massachusetts received 67 drugs from Omnicare’s pharmacies. There’s no suggestion that these drugs were prescribed needlessly (some patients are indeed very sick), however this patient seems to have been “cycled” through various drug categories — hence Seroquel and Neurontin, and Pepcid and Zantac. (Ironically, Risperdal seems to be the only drug the patient didn’t get.) Here’s the list:

(Click to enlarge.)

Note that it’s so long the government couldn’t fit it all onto one page. Tony West, assistant attorney general for the Civil Division of the Department of Justice, said:

Illegal conduct like this can undermine the medical judgments of health care professionals, lead to patients being prescribed medications they do not need, and drive up the costs of health care.

Jim Edwards, a former managing editor of Adweek, has covered drug marketing at Brandweek for four years, and is a former Knight-Bagehot fellow at Columbia University's business and journalism schools. Follow him on Twitter or send him an email.

BNET User Analysis

Web Buzz:
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    FiercePharma - 97 days 10 hours 33 minutes ago

    Another day, another drug-marketing settlement. Omnicare, which provides pharmacy services to nursing homes, agreed to pay $98 million to settle allegations that it accepted and asked for kickbacks, the U.S. Justice Department announced. And Teva Pharmaceutical Industries subsidiary IVAX will pay $14 million on claims that it forked over $8...

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  • U.S. accuses J&J of kickbacks to Omnicare

    FiercePharma - 21 days 11 hours 3 minutes ago

    Back when the U.S. Department of Justice settled claims against Omnicare, the nursing home services company, word was that Johnson & Johnson would be the next pharma company in line for government action. That's proven to be the case, as the government has sued J&J, alleging that it paid kickbacks to persuade Omnicare to buy more J&J meds and...

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    WASHINGTON — The nation’s largest nursing home pharmacy, Omnicare Inc. of Covington, Kentucky, will pay $98 million, and drug manufacturer, IVAX Pharmaceuticals of Weston, Florida, will pay $14 million to resolve allegations that Omnicare engaged in kickback schemes with several parties, including IVAX, the Justice Department announced...

 
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    DebCalvert

    11/05/09 | Report as spam

    RE: In Risperdal Kickback Case, One Nursing Home Patient Received 67 Different Drugs

    Sun Healthcare Group Inc is under investigation for recent kickbacks involving it's Harborside nursing homes.

    Read how SUN (SUNH) cheated me out of treble damages, wrongful death, elder abuse, and my mother's pain and suffering after they caused her to have a stroke when broken equipment was used to monitor her blood pressure at www.sunhealthcaregroupinc.blogspot.com/

    The CEO and Risk Manager, Rick Matros and Dr Hunker are criminals who deserve to be fired for killing these patients: Stella Carter; Richard Laga (gangrene); Betty Harness (fecal impaction), Evelyn Calvert (stroke and MRSA) and the man in Room 2-B Oct 2003 who died from aspiration pneumonia when suction equipment broke.

    Debbie Calvert
    Newport Beach, California

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