Texas sues Eli Lilly for allegedly 'bribing' doctors to prescribe weight-loss drugs
The state of Texas is suing drug developer Eli Lilly, claiming the company is guilty of “bribing” doctors to prescribe its medications, particularly those from its portfolio of popular diabetes and weight-loss treatments.
In its court filing, the office of Texas Attorney General Ken Paxton accused the company of using several forms of illegal kickbacks to incentivize the flow of its therapies, including offering support to help get prescriptions reimbursed by health plans.
Paxton’s office also claimed Eli Lilly sent its own nurses, free of charge, to help providers who cared for patients using the pharmaceutical giant’s drugs. This included weight-loss products such as Zepbound and Mounjaro, as well as an array of other medications.
In an announcement, Paxton stated that the company “compromised medical decision-making” by engaging in what he sees as greed-driven misconduct. He accused the company of quid pro quo arrangements and deceptive marketing, in violation of state law.
“Eli Lilly fraudulently sought to maximize profits at taxpayer expense and put corporate greed over people’s health,” he added in a statement. “I will not stand by while corporations unlawfully manipulate our healthcare system to line their own pockets.”
Per the court documents, Paxton’s office is bringing the lawsuit alongside Health Choice Alliance, a New Jersey-based entity about which little information is available online. However, the organization has sued Eli Lilly in the past over allegations the company engaged in an illegal kickback scheme.
Those previous claims appear to have been dismissed.
HealthExec reached out to Eli Lilly and will update this story with any statement we receive.
Second lawsuit for Eli Lilly
Last October, Paxton’s office named Eli Lilly in a separate lawsuit targeting multiple drug companies and pharmacy benefit managers (PBMs) for their alleged role in controlling the price of insulin.
Eli Lilly, alongside Novo Nordisk and Sanofi, is accused of offering rebates to vertically integrated pharmacies, allowing the drug manufacturers to keep the price of insulin artificially high.
That lawsuit is also pending.
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