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Scott Kappes
Scott Kappes
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J&J Accused of Giving Kickbacks


A lawsuit has been filed by a group nursing home residents in California that accuses Johnson & Johnson of paying kick backs to a pharmaceutical consultant, Omnicare. The suit alleges that J&J colluded with Omnicare to push their drugs on nursing home residents and offered kickbacks in exchange for improved sales.

The suit claims that J&J violated federal Medicaid laws with this scheme. The suit also alleges that nursing home residents were over-charged for their medications and some medications were unlawfully switched to J&J products.

If these allegations are true, which I suspect they are for the most part, it demonstrates another clear cut example of a pharmaceutical company putting profits above everything else.

Honestly this doesn’t really surprise me at all. For years big pharma has been skirting laws and working the system to maximize profits, and until the penalties outweigh the profits I don’t see much changing.


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  1. Fred says:
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    S.C. Johnson is “The Family Company” not Johnson & Johnson.

  2. Scott Kappes says:
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    Thanks Fred. I’ll take that out. I guess I got them confused.