Sandoz Unit To Pay $3.5M In False Claims Act Deal

Law360, New York (February 22, 2010, 6:04 PM EST) -- Sandoz Inc. subsidiary Eon Labs Inc. has agreed to pay $3.5 million to settle a False Claims Act case alleging it misrepresented its heart drug Nitroglycerin SR as eligible for Medicaid reimbursement, federal authorities said Monday.

The settlement resolves claims against Eon in a multidefendant whistleblower action in the U.S. District Court for the District of Massachusetts, the U.S. Department of Justice and the U.S. Attorney's Office in Boston said.

The whistleblower in the case, who was not identified, will receive about $525,000 under the settlement,...
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