J&J Unit, PE Firm To Pay $11.5M Over FCA Claims

Law360 (November 20, 2020, 6:21 PM EST) -- A Johnson & Johnson unit and a private equity firm will pay a combined $11.5 million to resolve False Claims Act allegations in Pennsylvania federal court that a former J&J subsidiary had promoted a medical procedure for unapproved uses on children, prosecutors said.

J&J unit Medical Device Business Services Inc. and The Gores Group have agreed to pay $10 million and $1.5 million, respectively, over claims that Therakos Inc. improperly marketed a cancer treatment for uses not approved by the U.S. Food and Drug Administration when J&J owned the company and after the investment firm bought it, prosecutors said.

"While physicians...

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