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Founder of Insys Indicted for Bribing Docs to Illegally Prescribe Fentanyl. Lock Him Up!

Founder of Insys Indicted for Bribing Docs to Illegally Prescribe Fentanyl. Lock Him Up! | Newtown News of Interest | Scoop.it

The founder of Insys Therapeutics Inc. was arrested Thursday and charged with allegedly bribing doctors to improperly prescribe Insys drugs containing the powerful opiate Fentanyl — the biggest arrest in a nationwide crackdown that’s already netted two convictions in Mobile.

 

John N. Kapoor, 74, was arrested in his home state of Arizona Thursday and charged with RICO conspiracy as well as other felonies including conspiracy to commit mail and wire fraud and conspiracy to violate the Anti-Kickback Law. To date, Kapoor is the most prominent pharmaceutical executive to be charged in any drug conspiracy.

 

John Kapoor, billionaire founder of pharmaceutical company Insys Therapeutics, was arrested and charged with leading a drug conspiracy on Oct. 26, 2017. (insysrx.com)

Kapoor, the former Executive Chairman of the Board and CEO of Insys, founded the company in the late 1990s.

He resigned after six former Insys executive board members were indicted in December 2016, though he has remained an active boardmember and majority owner of the company.

 

The month after those indictments, the Department of Justice turned its attention to Mobile, where Dr. John Patrick Couch and Dr. Xiulu Ruan — owners and operators of Physicians Pain Specialists of Alabama — were being tried on many of the same charges Kapoor himself now faces.

 

After a seven-week trial, Ruan and Couch became the first medical professionals in U.S. history to be convicted on federal RICO charges that were originally intended to combat organized crime. They were each sentenced to at least 20 years in federal prison, and the federal government has since seized millions of dollars in cash, cars and property from both.

 

What ties the two local pain docs to Kapoor are the drugs that his company produced and marketed, most notably the fentanyl-based product Subsys. Intended and FDA approved to treat “breakthrough pain in Cancer patients,” Ruan and Couch were accused of prescribing the drug to non-cancer patients without a legitimate medical purpose.

 

Further Reading:

“Former Insys Sales Reps Bribed Docs To Prescribe Opioids To As Many Patients as Possible”; http://sco.lt/7jGNHN ;“Attacking the Root of the Opioid Crisis - Pharmaceutical Companies”; http://bit.ly/JMrootcause ;
Via Pharma Guy
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