DOJ Tries To Intervene In 'Off-Label' Case Against Pfizer
September 21 2010 - 3:27PM
Dow Jones News
The U.S. Justice Department is trying to take the lead in a
lawsuit accusing Pfizer Inc.'s (PFE) Wyeth unit of improperly
promoting an organ-transplant drug for unauthorized uses and paying
illegal kickbacks to doctors.
The lawsuit was filed by two former Wyeth sales representatives
who were responsible for promoting Rapamune, an immunosuppressant
used to prevent the body's rejection of transplanted kidneys. New
York-based Pfizer, the world's biggest drug maker by sales, gained
the rights to Rapamune with its purchase of Wyeth last year.
In a motion filed in federal court in Philadelphia Tuesday, the
U.S. Attorney's Office for the Eastern District of Pennsylvania
asked the judge for permission to take over the case, saying it had
"good cause to intervene."
A Pfizer spokesman wasn't immediately available.
The lawsuit, first filed confidentially in 2005, alleges that
Wyeth promoted Rapamune for off-label uses, or those not consistent
with the prescribing label approved by the U.S. Food and Drug
Administration. The suit alleges Wyeth promoted the drug for use in
lung-transplant patients, for instance.
Drug companies are prohibited from actively promoting off-label
uses, although doctors have the discretion to prescribe drugs in
such a manner.
The lawsuit also alleges Wyeth violated laws banning kickbacks
by providing cash and other incentives to induce doctors to promote
and prescribe Rapamune, including for off-label uses.
The alleged off-label promotion caused false reimbursement
claims to be submitted to government health programs, the lawsuit
said. The drug costs between $8,000 and $20,000 per patient
annually, according to the lawsuit. Rapamune generated $376 million
in sales for 2008, the last full year reported by Wyeth.
"Our experience is generally that the government gets involved
in a case where they find some merit in some or all of the
[plaintiff's] claims, and we applaud the government's decision to
intervene," said Reuben Guttman, an attorney for the former Wyeth
sales reps.
The Rapamune case is the latest in a series of off-label
promotion cases pursued by the government throughout the drug
industry. Pfizer last year paid a record $2.3 billion to settle
government probes of allegations that it engaged in off-label
promotion of the former pain drug Bextra and other products.
AstraZeneca PLC (AZN) and Forest Laboratories Inc. (FRX) also have
recently settled off-label investigations.
The lawsuit was filed under a federal law designed to encourage
people with knowledge of suspected wrongdoing to blow the whistle,
by giving such individuals a percentage of monetary settlements
that may result from the lawsuit.
Pfizer previously disclosed that the U.S. Attorney's Office for
the Western District of Oklahoma was conducting a criminal
investigation of Wyeth's promotional practices for Rapamune.
-By Peter Loftus, Dow Jones Newswires; +1-215-656-8289;
peter.loftus@dowjones.com
(Brent Kendall contributed to this article.)
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