Marc Hermelin, the former chairman of the board of Bridgeton, Mo.-based KV Pharmaceutical is the first executive of a drug company to be banned from participating in federal healthcare programs, according to a St. Louis Post-Dispatch news report.
In March, KV Pharmaceutical's subsidiary, Ethex, pleaded guilty to making and distributing medication of the wrong size that posed a threat to public safety. Specifically, the company admitted to shipping oversized morphine tablets. Federal health officials have said they will not do business with companies that employ banned individuals, meaning the company may eventually not be able to participate in federal healthcare programs, according to the report.
Mr. Hermelin's barring from participation in federal healthcare programs is part of a new anti-fraud campaign to eliminate waste and abuse in the Medicare and Medicaid programs, according to the report.
Read the St. Louis Post-Dispatch news report about Mr. Marc Hermelin's ban from federal healthcare programs.
Read other coverage about pharmaceutical company fraud:
- Advocacy Group: Pharmaceutical Companies Top List of DOJ Settlements
- Novartis Pays $422M to Settle Allegations of Illegal Drug Promotion, False Claims, -Paying Kickbacks
- Pharmaceutical Company Allergan Agrees to Pay $600M for Paying Kickbacks to Physicians, Promoting Unapproved Use of Botox, Other Violations of False Claims Act
In March, KV Pharmaceutical's subsidiary, Ethex, pleaded guilty to making and distributing medication of the wrong size that posed a threat to public safety. Specifically, the company admitted to shipping oversized morphine tablets. Federal health officials have said they will not do business with companies that employ banned individuals, meaning the company may eventually not be able to participate in federal healthcare programs, according to the report.
Mr. Hermelin's barring from participation in federal healthcare programs is part of a new anti-fraud campaign to eliminate waste and abuse in the Medicare and Medicaid programs, according to the report.
Read the St. Louis Post-Dispatch news report about Mr. Marc Hermelin's ban from federal healthcare programs.
Read other coverage about pharmaceutical company fraud:
- Advocacy Group: Pharmaceutical Companies Top List of DOJ Settlements
- Novartis Pays $422M to Settle Allegations of Illegal Drug Promotion, False Claims, -Paying Kickbacks
- Pharmaceutical Company Allergan Agrees to Pay $600M for Paying Kickbacks to Physicians, Promoting Unapproved Use of Botox, Other Violations of False Claims Act