September 1, 2010 — Allergan Inc.

American Pharmaceutical manufacturer Allergan Inc. has agreed to pay $600 Million to settle qui tam actions filed by several private relators.

The allegations of the case were that the company promoted Botox for uses which were not approved of as safe by the Food and Drug Administration (FDA), that it made unsubstantiated and misleading statements about the safety and efficacy of Botox, and instructed doctors to miscode Botox claims using inappropriate billing codes to secure payment from federal health care programs such as Medicare, Medicaid, TRICARE and the Federal Employees Health Benefit Program.

As a reward for having filed their qui tam claims, the private relators will receive $37,800,000.00.

See U.S. Dept of Justice Press Release 09/01/10

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