Valeant under criminal investigation
pharmafile | August 11, 2016 | News story | Business Services, Manufacturing and Production, Medical Communications, Research and Development, Sales and Marketing | Philidor, Valeant, investigation
Valeant Pharmaceuticals International is currently under investigation by the US attorney’s office in Manhattan over suspicions that the firm intentionally veiled its relationship with mail-order pharmacy Philidor Rx Services in order to boost sales of its drugs.
The investigation centres around whether then now-defunct Philidor obscured its connections to the pharmacy firm from insurers with false statements and helped patients get insurance for higher-priced Valeant drugs in place of cheaper alternatives. The US attorney’s office is attempting to determine whether insurers believed Philidor was neutral rather than in the service of Valeant.
The pharma company issued the following statement in response: “Valeant previously disclosed in October 2015 that the United States Attorney’s Office for the Southern District of New York commenced an investigation involving Valeant. We have been fully cooperating with the authorities throughout the investigation, and we are in frequent contact and continue to cooperate with the US Attorney’s Office for the Southern District of New York. We do not comment on rumours about investigations, and cannot comment on or speculate about the possible course of any ongoing investigation.
“Valeant takes these matters seriously and intends to uphold the highest standards of ethical conduct as we move forward with our mission to improve people’s lives with our healthcare products.”
The investigation is also examining Philidor’s business practices, which included providing rebates and compensation to customers using Valeant products.
Matt Fellows
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