Pfizer's Subsidiary Biohaven Agrees to Pay $59.74 Million to Settle False Claims Allegations

On January 24, local time, the U.S. Department of Justice announced that Pfizer's wholly-owned subsidiary Biohaven Pharmaceutical Holding Company has agreed to pay $59.74 million (approximately 434 million RMB) to resolve allegations related to false claims. These allegations involve Biohaven, prior to its acquisition by Pfizer, enticing healthcare providers to prescribe its drug Nurtec ODT by paying kickbacks, which led to the submission of false claims to Medicare and other federal healthcare programs.

According to the DOJ statement, from March 1, 2020, to September 30, 2022, Biohaven improperly compensated healthcare professionals through speaking fees and fine dining to induce them to prescribe Nurtec ODT, violating anti-kickback laws. The allegations assert that Biohaven selected several healthcare providers to become members of the Nurtec speaking team and offered paid speaking opportunities intending to stimulate prescriptions through these payments.

Additionally, some prescribers participated multiple times in the same theme projects without gaining any educational benefit. Some participants in Biohaven’s speaking events had no educational needs, including spouses, family members, friends, or colleagues of the speakers. These improper activities continued until October 2022, when Pfizer acquired Biohaven and terminated the Nurtec speaking program.