Enbrel maker sued over privacy | Arthritis Information

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Kinda makes me glad that I'm not on Enbrel anymore...I don't want them to get my money (or my insurer's).  Not that I believe it doesn't happen at other pharmaceuticals too....

http://money.cnn.com/2008/01/09/news/companies/amgen_lawsuit .ap/index.htm?iref=werecommend

Amgen sales reps sue drugmaker

Suit alleges biotech company searched private medical records for potential customers violating federal patient privacy law.

TRENTON, N.J. (AP) -- Two former sales representatives for Amgen are suing the biotech company, alleging it pushed its sales force to search doctor's confidential medical records for potential patients to boost sales of a drug used to treat psoriasis.

The two former representatives, who are seeking lost pay, punitive damages and other compensation totaling more than million apiece, allege they objected to superiors and refused to go along with the scheme, which legal experts say violates federal patient privacy law.

In addition, the veteran sales reps were encouraged to get insurance companies to approve reimbursement for Enbrel for patients with mild psoriasis, their attorney, Lydia Cotz, said Wednesday.

Enbrel, an injected, genetically engineered drug, is only approved for use in patients with moderate to severe psoriasis; it has severe side effects in some patients, including occasionally fatal infections. The drug is also used to tread rheumatoid arthritis.

One of the sales representatives, Elena Ferrante of Montvale, N.J., was fired in August 2005, while the other, Mark Engelman of Laguna Niguel, Calif., resigned last year after Cotz said he received a negative performance review.

The lawsuits are being handled through national arbitration services, because Amgen requires in its employment contracts that disputes be settled that way, Cotz said. Ferrante's case was filed in October in New York and Engelman's was filed in mid-December, she said.

Amgen spokesman David Polk said in a statement that the company "does not comment on pending litigation or personnel matters. Our sales creed emphasizes that Amgen sales representatives follow compliance guidelines with absolute consistency."

Cotz said the New Jersey attorney general's office is investigating and has interviewed Ferrante.

Jeff Lamm, a spokesman for state Attorney General Anne Milgram, said the office never confirms or denies the existence of such investigations.

Milgram last fall convened a task force to investigate how the doctor-patient relationship is affected by the widespread practice of drug and medical device makers giving physicians gifts and fees for researching, consulting and speaking about their products.

Jim Cohen, a Fordham University law professor specializing in legal ethics and criminal law, and John Thomas, a health law professor at Quinnipiac University School of Law, said that accessing patient medical files violates the federal Health Insurance Portability and Accountability Act, known as HIPAA.

Cotz said the scheme started in 2005 or sooner, after new drugs competing with Enbrel came on the market. Enbrel, one of Amgen's top sellers, had sales of nearly billion in 2006.

"Amgen stepped up their marketing practices to ... get all these people who were not indicated for Enbrel" to start taking the drug, she said. "Patients didn't even know what was going on."

Cotz said her clients were instructed to go into dermatologists' offices and get permission to go through files to identify patients with psoriasis based on the diagnostic coding system insurers use for reimbursement. The representatives were told to then call insurers covering patients with mild psoriasis to seek approval for reimbursement of Enbrel, which Cotz said costs ,000 to ,000 per year, depending on the severity of the sometimes-painful skin condition.

"They would get on, and they wouldn't identify themselves as Amgen (AMGN, Fortune 500) representatives. They would say, 'I'm calling on behalf of Dr. so-and-so,"' Cotz said.

She said representatives also were told to write letters on behalf of doctors, seeking advance approval so doctors could write prescriptions for Enbrel. Doctors writing prescriptions would benefit from frequent patient visits to have the drug injected.

"Respondents (Amgen) unethically and in contradiction of the available scientific data, promoted the prescription of Enbrel for "mild" cases of psoriasis by reinterpreting "moderate" cases" as mild, the lawsuit states, in "a total disregard of the proper care of patient recipients of Enbrel."

Cotz said sales representatives from the northeast to Hawaii have confirmed the scheme's existence.

Thomas said the allegations, if true, implicate any physicians who went along with the scheme for authorizing "marketing of medication not designed to treat their patients."

Cohen noted that HIPAA contains very tough sanctions for disclosing someone's health information - up to 10 years in jail and a 0,000 fine if the information was transferred or used for commercial advantage.

A hearing has not yet been scheduled in the case, but could occur in February. 

InnerGlow39458.3874768519

I don't know what to say.  I'm stunned.

Pip

If it's true, that's pretty shocking.I'm sorry to say this does not surprise me at all. Now that I'm on a computer that makes links I'll say this doesn't surprise me because of the information and understanding of how corporations work that I got from the incredibly balanced and well researched movie "The Corporation".

This movie really makes clear the sort of unethical machine a corporation is, even though the people heading them may be perfectly good and moral people. It's a must watch for anyone confused or confounded by corporate corruptedness.

Another good movie, although not nearly as seminal or unbiased, is "Enron: the Smartest Guys in the Room".

Anyway, I don't mean to derail the thread and not being surprised by this news doesn't make me any less digusted by it.
Gimpy-a-gogo39458.5147453704

What about our privacy rights?  Isn't anybody upset at that?  A company markets me with my doctor's tacit permission so the MD makes more money?

Pip

I saw another article on the same subject that asked the FDA whether Amgen's practices were being investigated and they said it cannot comment on whether a company is under investigation.Well what I find odd is that people can read about stuff like this and still believe that Enbrel ISN'T being advertised to them through "members" at arthritis message boards. Gimpy, We are all taking different drugs here and who's to say that some people aren't advertising them??

I'm on enbrel. For me it really works. GOD, I can write and zip up my pants. But you are all living in a bubble if you think ALL other  pharmaceutical companies are on the up and up. I think they are all a bunch of crooks if they think they can get away with it.
Sorry, I know how sinical I sound.
Barb

ThinkThin, I agree with you, I don't think it's only Enbrel doing it. I said it's naive to think it's not happening. It's too bad that the health care industry is now beginning to be the big crooks along side the government.
Again, Gimpy, sorry for the sinical me.



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