Johnson & Johnson Slammed with $1.64 Billion Verdict in Explosive HIV Drug Fraud

A federal judge has ordered Johnson & Johnson’s subsidiary, Janssen Products LP, to pay a staggering $1.64 billion after a whistleblower lawsuit exposed illegal off-label marketing of HIV drugs Prezista and Intelence. The ruling, delivered by U.S. District Judge Zahid Quraishi, follows a jury’s finding that Janssen violated the False Claims Act by submitting 159,574 fraudulent claims to government programs, including Medicare and Medicaid. Each false claim carried an $8,000 penalty, leading to an unprecedented financial blow.

Whistleblowers Jessica Penelow and Christine Brancaccio, former Janssen sales representatives, revealed that the company falsely marketed Prezista as “lipid neutral” without FDA approval and funneled payments to doctors through lavish events to boost prescriptions. While the jury cleared Janssen of kickback allegations, they upheld the claims of deceptive marketing, leading to $360 million in damages—later tripled under federal law—and an additional $1.28 billion in civil fines.

Johnson & Johnson has vowed to appeal, insisting its marketing practices aligned with FDA regulations and calling the verdict fundamentally flawed. The case now heads to the Third Circuit Court of Appeals, where the pharma giant hopes to overturn the crushing penalty. With the stakes sky-high, this battle could reshape pharmaceutical marketing regulations and set a precedent for future whistleblower lawsuits.

https://48skid.blogspot.com/2025/03/johnson-johnson-slapped-with-164.html

Johnson & Johnson Slapped with $1.64 Billion Fine: HIV Drug Scandal Explodes