Sponsored genetic testing fraud is a system in which pharma companies work with genetic testing labs to “sponsor” or fund genetic tests that identify rare disease patients for particular drugs. While patient and physician data should be confidential, some labs illegally share that data back with pharma companies as a quid pro quo.
Pharma companies use this ill-gotten data to aggressively market their obscenely expensive drugs to identified physicians in the hopes that they will prescribe the drugs to their patients who were identified as having a rare genetic disease. Because pharma companies are using the information obtained from sponsored genetic tests to increase their own sales, it is considered an illegal kickback under the Federal False Claims Act. In April 2022, the Office of Inspector General (OIG) issued an Advisory Opinion about sponsored genetic testing.
Sponsored genetic testing fraud schemes are on the rise. Some have become so ingrained in the pharma process that many of the individuals involved may not even realize it is happening. If you suspect this type of fraud is occurring at your place of employment, here are some signs to look for:
Unjustified Volume
A sudden surge in the number of genetic tests being taken or processed without clear medical necessity.
Document Sharing
Any paperwork shared between genetic testing labs and pharma companies that refers to confidential patient or physician data that would lead to referrals for specific drugs.
Cozy Relationships
Unusual relationships between pharma companies, drug reps, genetic testing labs, or doctors that may suggest kickback arrangements.
We understand that coming forward may feel overwhelming, but we are here to support you throughout every step of the process. As a trusted whistleblower law firm, anything you submit in the form below will remain confidential and privileged until you decide it’s time to file.
One of our highly experienced whistleblower experts will contact you to set up a no-obligation, confidential case review. We will work to deliver the highest monetary reward for brave individuals who have valuable information that can help stop fraud.
Want to read more before talking to a professional? Feel free to explore these resources that can help you spot genetic testing fraud schemes in your organization and what to do when you see them.
Shining a Spotlight on Sponsored Testing Programs
This article aims to shed light on the potential misuse of data derived from these programs and to encourage insiders to come forward with vital information that can help uphold the integrity of these initiatives.
Exploring Sponsored Genetic Testing Fraud and Its Red Flags
This article uncovers the multifaceted nature of genetic testing fraud, equips you with tools to detect red flags, and explains the legal protections available for whistleblowers who take a stand against this illicit practice.
