Akzo Nobel Escapes $421M Medicaid Kickback Suit

Law360, New York (April 3, 2012, 3:57 PM EDT) -- A federal judge agreed on Friday to dismiss a False Claims Act case filed by employee whistleblowers against Akzo Nobel NV, the former parent of Organon USA Inc., a pharmaceutical company accused of operating a kickback scheme that helped overcharge Medicaid by $421 million.

While U.S. District Judge Rya W. Zobel of Massachusetts federal court dismissed the claims against Akzo Nobel for lack of jurisdiction, the claims against several other defendants, including Organon, Merck & Co. Inc. and Schering Plough Corp., are still pending.

Organon and...
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