The US government has filed a civil fraud lawsuit against Novartis claiming the company made illegal payments to induce pharmacies to switch kidney transplant patients to its immunosuppressant drug Myfortic.
Civil fraud lawsuit claimed that Novartis had disguised kickbacks as performance rebates and discounts to encourage pharmacies to oppose the use of cheaper, generic drugs or competitor drugs.
The lawsuit filed in US District Court in Manhattan seeks unspecified damages and civil penalties for a scheme that is said by the government to be carried since 2005.
The scheme of the Switzerland-based pharmaceutical company violated the federal False Claims Act, according to the US government.
Myfortic (mycophenolic acid) delayed-release tablet is a prescription medicine given to prevent rejection in kidney transplant patients.