NY Judge Won't Toss FCA Kickback Suit Against Novartis

Law360, Los Angeles (May 29, 2014, 8:21 PM ET) -- A New York federal judge on Thursday tentatively denied Novartis Pharmaceuticals Corp.’s bid to toss a False Claims Act lawsuit accusing it of paying kickbacks to specialty pharmacies to push drugs like Exjade and Myfortic, saying more briefing on the issues will be necessary.

The U.S. government filed an amended complaint-in-intervention in the FCA suit against Novartis and BioScrip Inc. in January, detailing the two kickback schemes involving tens of millions of dollars of prescriptions for Novartis’ transplant drug Myfortic and iron reduction drug Exjade. Novartis...
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