Bayer will pay $40 million to settle claims against the company’s drugs

In 2005 and 2006, Laurie Simpson, a former employee of Bayer’s New Jersey division of the German pharmaceutical company, filed lawsuits against the manufacturer about Bayer’s fraudulent promotion and sale of its drugs. The pharmaceutical company agreed to pay $40 million to the US authorities to settle claims, Ms. Simpson will receive $11.1.

Reuters clarifies that Laurie Simpson accused Bayer of violating US federal false claims law. American law under this act, also known as the “Lincoln Act”, allows individuals to sue companies on behalf of the government.

According to Ms. Simpson, Bayer paid doctors and hospitals to promote Avelox and Trasylol in the US. She also accused the company of selling drugs that could be used off-label. Bayer’s activities, the prosecution believes, led to fraud in the implementation of state Medicare and Medicaid programs.

Although Bayer representatives refused to acknowledge the company’s involvement in the said fraud, the manufacturer agreed to pay the amount of $ 40 million to end the “already drawn out litigation”.

Previously, Bayer has repeatedly reached agreements to settle claims through payments to plaintiffs. In August 2020 the company paid $1.6 billion after about 39,000 women filed claims against Bayer for non-compliance with Essure contraceptive quality standards.

Andrey Sapozhnikov