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Federal Contractor Misconduct Database (FCMD)

The federal government routinely awards contracts to companies with histories of misconduct, including contract fraud and other violations. POGO believes that providing this website will help to improve contracting decisions and increase public knowledge of how the government spends billions of taxpayer dollars each year. Read more…

Lipitor False Claims

In October 2002, Pfizer and its subsidiaries Warner-Lambert and Parke-Davis paid $49 million to resolve False Claims Act charges that it had fraudulently avoided paying rebates owed to state and federal health programs by failing to report best prices for its cholesterol drug Lipitor. Parke-Davis Labs, then a subsidiary of Warner-Lambert, which was subsequently acquired by Pfizer in 2000, allegedly overstated the Lipitor best price in the first and second quarters of 1999 by concealing $250,000 of cash discounts that were given to a key managed care customer in Louisiana in exchange for favorable status on the managed care organization’s drug formulary. As part of the settlement, Pfizer also entered into a five-year corporate integrity agreement with the Department of Health and Human Services Office of Inspector General to prevent similar violations from occurring in the future.

Misconduct Type
Government Contract Fraud
Enforcement Agency
Health and Human Services
Contracting Party
Multiple Agencies
Court Type
Civil
Disposition
Settlement
Date of Announcement
10/28/2002
Contractors Involved Penalty
Total
Pfizer, Inc. $49,000,000
Further Information Released
DOJ Press Release 3/24/2010
Pfizer Corporate Integrity Agreement Slide Show 3/24/2010

Federal Contractor Misconduct Database