Whistleblower Lawsuit Against Novartis Over Kickbacks To Promote Its Drugs Resurrected

A U.S. appeals court has revived a whistleblower lawsuit, ruling that Novartis must face claims of paying kickbacks to doctors to promote its multiple sclerosis drug, Gilenya.

The 2nd U.S. Circuit Court of Appeals revived a whistleblower lawsuit filed by Steven Camburn, a former sales representative for the company. Camburn claims Novartis organised “sham” speaker events where doctors were paid to speak at social gatherings disguised as educational events. These kickbacks allegedly caused fraud in government health programs like Medicare, Medicaid, and TRICARE. The court found that Camburn’s claims created a “strong inference” that Novartis intended to induce fraud. Novartis previously agreed to settle similar charges in 2020 for over USD 729 million.