The news is out: [BOSTON (AP) — The Biogen pharmaceutical company on Thursday agreed to pay $22 million to resolve allegations that it illegally paid insurance co-payments for thousands of patients in order to collect Medicare revenue, federal prosecutors said.
The company was accused of channeling money through two nonprofit foundations to cover co-payments for patients who were using Biogen drugs used to treat multiple sclerosis.
Prosecutors said Biogen identified patients who were in its free drug program for low-income patients but were eligible for Medicare benefits. Biogen then conspired with a pharmacy company to get those patients’ drug costs claimed through Medicare, and one of the nonprofit foundations covered the co-payments with money from Biogen, prosecutors said.
The pharmacy company that worked with Biogen, Advanced Care Scripts, agreed to a $1.4 million settlement.
Federal prosecutors said the scheme violated a federal law that forbids pharmaceutical companies from offering financial incentives to induce Medicare patients to use their drugs.]
This seems to be the way business is done in the USA.