Agreement Reached in Novo Nordisk Diabetes Drug “Scheme”

Novo Nordisk illegal marketing allegations may now be resolved.

Novo Nordisk has reached an agreement with the Department of Justice in an alleged “white coat marketing scheme.” The drugmaker faced claims of intending to encourage doctors to prescribe three Novo Nordisk drugs to patients. Novo Nordisk

Since 2006, under a so-called “Changing Life with Diabetes Program,” illegally hired Certified Diabetes Educators (CDEs) and employed them as sales reps. These “sales reps” helped the company to pocket  $6 billion in the whole deal.

The lawsuit alleged that the NovoLog, Levimir, and Victoza salespeople, or educators, had an unfair advantage when meeting doctors. The Department of Justice became involved as all 3 drugs are covered by government health benefits.

The drugmaker is also in the middle of class action lawsuits over insulin pricing.

In an emailed statement Novo spokesman, Ken Inchausti, said that Novo Nordisk had “reached an agreement in principle to settle certain claims related to this investigation. The process is not finalized, and as such, we can’t provide further comment on this matter at this time.”

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