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Violation Tracker Individual Record

Company: Bayer Corporation
Current Parent Company: Bayer
Penalty: $251,000,000
Year: 2003
Date: April 16, 2003
Offense Group: government-contracting-related offenses
Primary Offense: False Claims Act and related
Mega-Scandal: Drug Pricing Abuses
Violation Description: Bayer Corporation paid $143 million to resolve a whistleblower's allegations that it defrauded the Medicaid and Public Health Service programs by relabeling products sold to a health maintenance organization at deeply discounted rates and then concealing the discounts to avoid paying rebates, in violation of the Medicaid Rebate program. In addition, Bayer paid $108 million to reimburse state Medicaid programs for the same conduct.
Level of Government: federal
Action Type: agency action
Agency: Justice Department Civil Division
Civil or Criminal Case: civil
HQ Country of Current Parent: Germany
Ownership Structure of Current Parent: publicly traded
Major Industry of Current Parent: chemicals
Specific Industry of Current Parent: chemicals
Source of Data: (click here)
Source Notes: If an online information source is not working, check the Violation Tracker Data Sources page for an updated link.
Current parent company note: Parent-subsidiary relationship is current as of the most recent revision listed in the Update Log.