The maker of cholesterol-treatment drugs Advicor and Niaspan has agreed to settle government allegations that it engaged in kickbacks and off-label marketing of the two drugs, Washington Attorney General Rob McKenna announced Thursday.
Washington will receive $163,696 from Kos Pharmaceuticals in the case. Of that total, $46,692 will go to the state’s Medicaid program, and $34,718 will go to the state’s general fund. The remainder will be returned to the federal government for its share of Medicaid funding.
The settlement is part of a larger one reached between the U.S. attorney in Wisconsin and Louisiana, and the U.S. Department of Justice. Kos will pay $41 million to settle claims and a $3 million criminal fine, said McKenna.
Federal and state authorities say Kos engaged in off-label marketing of Advicor and Niaspan, paying kickbacks to doctors to encourage them to prescribe the drugs for treatments not approved by the Food and Drug Administration.