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Arizona AG sues Insys over "fraudulent" opioid marketing; shares down 4%

Published 08/31/2017, 03:32 PM
© Reuters.  Arizona AG sues Insys over "fraudulent" opioid marketing; shares down 4%
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  • Insys Therapeutics (INSY -4.3%) slips on modestly higher volume in response to the news that Arizona's attorney general has filed a lawsuit against the company accusing it of "fraudulent" marketing aimed at boosting sales of Subsys (fentanyl), an opioid pain medication.
  • The lawsuit asserts that the company paid doctors sham speaker fees in exchange for writing prescriptions for Subsys without regard for the health of the patients. It also names three Arizona physicians who collected speaker fees from the company while writing prescriptions that generated more than $33M in sales of the product.
  • The company did not immediately respond to a request for comment. It recently agreed to pay almost $9M to settle litigation in Oregon, New Hampshire and Illinois.
  • Source: Reuters
  • Now read: Insys Guilty Pleas Get Closer To Former CEO


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