STAT+: Justice Department targets drugmakers in new directive on combating white-collar fraud
The Justice Department issued a new directive for combating fraud that noted the agency will pursue violations of a federal law that tightly regulates the pharmaceutical industry.
The U.S. Department of Justice recently released a new directive aimed at combating fraud in the pharmaceutical industry, according to the National Fraud Enforcement Division. This directive explicitly includes the Federal Food, Drug, and Cosmetic Act, signaling a shift in the agency's focus towards drug and device manufacturers.
Historically, the agency has primarily pursued health fraud cases involving providers, clinics, home health agencies, and hospices. Kevin Lowell, a former deputy chief in the National Fraud Enforcement Division's health care fraud section, noted that this expansion of the DOJ's jurisdiction is subtle yet significant.
Written by urgent.news from STAT News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.