Johnson & Johnson in $2.2 Billion Settlement

Johnson & Johnson and its subsidiaries have been ordered to pay more than $2.2 billion after criminal and civil investigations found that they may have marketed three drugs for usage that was never approved.  In addition to the false marketing allegations, the company is accused of giving “kicbacks” to physicians and nursing home pharmacies to promote the drug. According to the U.S. Attorney General, Johnson & Johnson marketed the drug Risperdal for treatment of psychotic symptoms in elderly, non-schizophrenic patients, despite the fact that the drug was approved to treat only schizophrenia. Risperdal and Invega were also marketed for dementia treatment, which they were not approved of. The improper marketing led insurance companies to pay for claims that they should not have been paying for.

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