Opioid manufacturer bribed doctors to prescribe fentanyl inappropriately, US says

Arizona drug manufacturer Insys Therapeutics sold its fentanyl spray, Subsys, through a business model based on bribing doctors to prescribe off-label and lying to insurers about patients’ medical histories, according to a federal indictment against six former Insys executives, including the former chief executive and president, Michael Babich.¹

The six, who left the company last year, have been arrested and charged with racketeering under a law normally used to tackle organized crime. They are also charged with violating the federal anti-kickback statute and with mail or wire fraud in their promotion of Subsys. The racketeering and fraud charges each carry a sentence of up to 20 years in prison.

Detailed allegations about the company’s relationship with 10 medical practitioners are laid out in the indictment. The 10 are not named, …