(COLUMBUS, Ohio) -- Ohio Attorney General Mike DeWine announced today that Ohio has joined with other states and the federal government to settle allegations that Salix Pharmaceuticals, Inc. paid kickbacks to improperly promote various drugs and medical devices.
The agreement will result in a combined state and federal settlement amount of $1,394,595 for Ohio.
Salix, a Delaware corporation headquartered in Raleigh, North Carolina, will pay the states and the federal government a total of $54 million dollars, of which $16,578,000 will go to the Medicaid programs to resolve civil allegations that Salix’s unlawful promotion of Xifaxan, Apriso, Relistor, MoviPrep, OsmoPrep, Solesta, and Deflux caused false claims to be submitted to government health care programs.
Specifically, the agreement resolves allegations that the company paid kickbacks, including honoraria and meals, to health care professionals as an inducement to recommend, promote, and prescribe certain Salix products.
The investigation resulted from two whistleblower actions originally filed in 2012 and 2015 in the United States District Court for the Southern District of New York under the federal False Claims Act and various state false claims statutes.
A National Association of Medicaid Fraud Control Units team participated in the investigation and conducted the settlement negotiations with Salix on behalf of the states. The team included representatives from the Ohio Attorney General's Office, as well as the offices of the attorneys general in New York, California, Indiana, and Wisconsin.
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Media Contacts:
Dan Tierney: 614-466-3840
Jill Del Greco: 614-466-3840