HARRISBURG, PA — Pennsylvania Attorney General Dave Sunday announced this week that the Commonwealth has joined a coalition of 48 states, territories, and the federal government in securing a $202 million settlement from Gilead Sciences, Inc. for operating an illegal kickback scheme to promote its HIV medications.
Under the agreement, Pennsylvania will receive approximately $1.28 million, with $642,000 specifically allocated to support the state’s Medicaid program.
The settlement, coordinated with the U.S. Department of Justice and approved by the U.S. District Court for the Southern District of New York, resolves allegations that Gilead violated federal anti-kickback laws from 2011 to 2017. Investigators found that Gilead provided improper incentives — including awards, luxury meals, and travel expenses — to health care providers to boost prescriptions of its HIV medications, such as Stribild, Genvoya, Complera, Odefsey, Descovy, and Biktarvy.
Gilead paid high-volume prescribers large sums to act as “HIV Speakers,” covered travel to attractive destinations, and hosted dinners at upscale restaurants. These practices allegedly led to millions of dollars in false claims submitted to government health programs, including Medicaid, Medicare, Tricare, and the AIDS Drug Assistance Program.
Attorney General Sunday emphasized the broader impact, comparing Gilead’s actions to past pharmaceutical misconduct during the opioid crisis. “Gilead used illegal kickbacks to corner the market on these life-saving drugs needed by one million Americans living with HIV,” said Sunday. “The money from this settlement will support people living with HIV and bolster prevention programs.”
In addition to Pennsylvania, nearly every U.S. state and territory participated in the settlement, underscoring a nationwide effort to hold drug companies accountable for unlawful marketing and sales practices.
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