Veloxis Pharmaceuticals Admits to Kickbacks, Agrees to Pay Over $46 Million
Veloxis Pharmaceuticals has admitted to illegal conduct, including kickbacks, and will pay over $46 million in criminal fines and civil penalties. The company also accepted a deferred prosecution agreement.
Veloxis Pharmaceuticals will pay over $46 million in criminal fines and civil penalties after admitting to illegal conduct, including providing kickbacks to healthcare professionals to promote its products. The settlement resolves a federal investigation into the company's marketing and sales practices.
The U.S. Department of Justice announced the agreement, which includes a stringent deferred prosecution agreement. This agreement mandates that Veloxis Pharmaceuticals adhere to strict compliance measures for a set period. Failure to comply could result in more severe penalties.
The investigation revealed that Veloxis Pharmaceuticals engaged in practices that violated federal anti-kickback statutes. These actions were aimed at improperly influencing prescribing decisions by healthcare providers. The resolution marks a significant enforcement action in the healthcare sector.
As part of the agreement, Veloxis Pharmaceuticals has appointed an independent monitor to oversee its compliance program. The company has stated its commitment to cooperating with authorities and implementing corrective actions.