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- Steven M. Butcher, Health Care Fraud and Anti-Kickback Statute Violation, New York 2014 · Pennsylvania
Defendant Indicted in Fentanyl Kickback Scheme
Jonathan Roper, a former District Manager at a pharmaceutical company, and Fernando Serrano, a former sales representative, were arrested this morning by FBI agents on Long Island and in New Jersey, respectively. They will be presented before U.S. Magistrate Judge Kevin N. Fox in Manhattan this afternoon.
Roper and Serrano were charged with violating the Anti-Kickback Statute in connection with their participation in a scheme to pay doctors thousands of dollars to participate in sham educational programs in order to induce the doctors to prescribe millions of dollars’ worth of a fentanyl-based sublingual spray manufactured by Pharma Company-1.
According to allegations in the Complaints unsealed today in Manhattan federal court, Fentanyl is a synthetic opioid that is classified as a Schedule II controlled substance and is approximately 100 times more potent than morphine as an analgesic.
Pharma Company-1’s Fentanyl Spray was approved by the FDA in or about January 2012, solely for the management of breakthrough pain in cancer patients who are already receiving and who are tolerant to opioid therapy for their underlying persistent pain.
The Fentanyl Spray is the only FDA-approved product that Pharma Company-1 currently has on the market. Pharma Company-1 reported approximately $330 million in net revenue from the Fentanyl Spray in 2015.
Manhattan U.S. Attorney Preet Bharara said, ‘Fentanyl is an incredibly dangerous and highly addictive drug that is finding its way into, and destroying, too many lives in our communities.’
FBI Assistant Director Diego Rodriguez said, ‘This case should be something the medical industry and the general public should pay close attention to because it’s one of the reasons we’re experiencing an epidemic of overdoses and deaths in this country.’
HHS OIG Special Agent in Charge Scott J. Lampert said, ‘We expect drug company representatives to be part of the prescription drug abuse solution – not part of the problem, as alleged in this case.’
According to the allegations, Roper and Serrano helped feed this devastating surge of opioid addictions by tapping into another age-old addiction, greed.
Roper and Serrano were charged with violating the Anti-Kickback Statute. The exact sentence or outcome has not been reported. The case is ongoing.
Key Facts
- State: New York
- Category: Drug Trafficking|Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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