United Therapeutics Corp. agreed Wednesday to pay $210 million to settle claims that it paid kickbacks to Medicare patients. The U.S. Attorney’s office had alleged that the company violated the Anti-Kickback Statute of the False Claims Act, which prohibits drug companies from paying to induce Medicare patients to buy their drugs. The company, which sells a number of pulmonary arterial hypertension drugs, allegedly used a foundation claiming non-profit status as a conduit to pay the co-pay obligations of “thousands” of Medicare patients taking its drugs. “UT used a third party to do exactly what it knew it could not lawfully do itself,” said Acting U.S. Attorney William Weinreb. The $210 million settlement is equal to 47% of total third-quarter revenue. United Therapeutics’s stock gained 0.3% in midday trade. It has lost 5.2% year to date, while the S&P 500 has climbed 20%.
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