North Carolina to Receive Nearly $2 Million in Settlement with Drug Company Celgene

this settlement resolves allegations that Celgene unlawfully marketed the drugs Thalomid and Revlimid

North Carolina to Receive Nearly $2 Million in Settlement with Drug Company Celgene
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August 2, 2017

North Carolina Attorney General Josh Stein has announced that North Carolina, along with 27 other states and the federal government, has settled with the drug company Celgene over alleged marketing schemes for off-label use and kickbacks.

Celgene, a New Jersey-based company, will pay North Carolina $1,918,498 for the allegations around the drugs Thalomid and Revlimid.

"To protect patients, drug companies must accurately represent their products to prescribers," said Attorney General Josh Stein. "If they don't, my office will hold them accountable."

Settlement details

Specifically, this settlement resolves allegations that Celgene unlawfully marketed these drugs for a variety of off-label uses—including marketing Thalomid for treating multiple myeloma prior to its approval by the U.S. Food and Drug Administration (FDA) for use in treating multiple myeloma, myelodysplastic syndromes, and a variety of other forms of cancer.

The settlement also resolves allegations that Celgene unlawfully marketed Revlimid for treating multiple myeloma and several forms of cancer.

The settlement resolves allegations that Celgene:

  • Paid physicians who prescribed Thalomid or Revlimid to conduct speaker programs,
  • Provided monetary support to physicians who prescribed Thalomid or Revlimid to conduct clinical trials and to write or be listed as authors on medical literature,
  • Paid physicians who prescribed Thalomid or Revlimid to work as consultants or serve on advisory boards, and
  • Induced purchases of Thalomid or Revlimid by defraying patients' co-payment obligations for those drugs.

In total, Celgene will pay the states and the federal government $280 million dollars. North Carolina's nearly $2 million share will go to restitution and other recovery.