Golden State Today

Attorney General Bonta announced a nationwide settlement involving Biohaven Pharmaceutical Holding Company, owned by Pfizer. The company faced allegations of submitting false claims to Medicaid and other government healthcare programs. The settlement, addressing accusations of kickback schemes from 2020 to 2022, resulted in nearly $60 million being paid by Pfizer on behalf of Biohaven. These funds aim to resolve federal and state violations, primarily affecting the Medicare program.

The State of California is set to receive $413,776 as compensation for losses incurred by its Medicaid program, Medi-Cal. Attorney General Bonta emphasized the importance of prioritizing patients' interests: "It is up to us, along with our state and federal partners, to keep violations like those alleged against Biohaven in check."

Pfizer agreed to pay $59,746,277 plus interest over allegations that Biohaven used unlawful practices to promote Nurtec prescriptions among Medicaid users. The alleged kickbacks involved cash payments and extravagant gifts provided to healthcare professionals in violation of the Anti-Kickback Statute.

The California Department of Justice’s Division of Medi-Cal Fraud and Elder Abuse (DMFEA) plays a crucial role in protecting Californians from fraud within the Medi-Cal program and elder abuse cases. Settlements such as this one are made possible through coordination between governmental agencies and contributions from whistleblowers reporting abuses at oag.ca.gov/dmfea/reporting.

Funding for DMFEA comes predominantly from the U.S. Department of Health and Human Services under a grant totaling $69,244,976 for Federal fiscal year 2025. The State of California provides additional funding covering the remaining percentage needed for operations.