Novartis AG to Cough Up $390 Million to Settle U.S. Kickback Case
Novartis AG agreed to pay $390 million to resolve a lawsuit claiming the company paid kickbacks to increase sales of several prescription drugs.
The agreement is preliminary. The payment covers all claims related to the medicines Myfortic, Exjade, Tasigna, Gleevec and TOBI, the company said. The U.S. had sought as much as $3.3 billion from Novartis for Exjade and Myfortic claims, claiming it had referred patients to specialty pharmacies and paid kickbacks in the form of rebates to get those pharmacies to recommend the drugs to patients and to increase sales.