For Immediate Release
Media Contact: Bob Cooper
Date: May 4, 2011
Idaho to Receive $47,000 from Medicaid Fraud Settlement
(Boise) – Drug manufacturer EMD Serono, Inc., has agreed to pay Idaho $47,062.74 to settle allegations of causing false or fraudulent claims for Rebif to be submitted to the Medicaid program, Attorney General Lawrence Wasden said today. Rebif is a prescription drug used to treat relapsing forms of multiple sclerosis (MS). The payment represents Idaho’s share of an agreement in principal to pay the United States and other participating states $44.3 million, plus interest.
The federal government and the states alleged that, from March 2002 through December 2009, EMD Serono paid health care professionals for activities such as promotional speaking engagements, attending speaker training, advisory and consultant meetings, educational grants, and charitable contributions. Idaho and the other plaintiffs alleged that at least one purpose of these payments was to induce those professionals to prescribe Rebif.
Of Idaho’s payment, $18,825.09 will go to Idaho Medicaid as restitution. The additional $28,237.64 EMD Serono agreed to pay in addition to settle the matter will go to the state’s General Fund.
A team representing the National Association of Medicaid Fraud Control Units participated in the investigation and conducted settlement negotiations with EMD Serono on behalf of the states. Team members included representatives from South Carolina, New York, North Carolina, and Texas.
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