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720 ILCS 5/46-I(d)(5).

54.

The ICFPA's qui tam provision, 740 ILCS 92115, provides that any interested

person may bring a civil action, in the name of the State of Illinois, for violations of 740 ILCS

9211 et seq., and by incorporation, 720 ILCS 5/46-1.

  • V.

    THE KICKBACKS-FOR-SWITCHES SCHEMES

    • 55.

      Drugs are gronped into therapeutic classes by disease treated and effect on the

body

. Most therapeutic classes are comprised of several drugs made by different manufacturers.

Drugs within a therapeutic class are not identical or legally interchangeable without a

prescription and often have different side effects or are particularly effective within a certain

patient population while less effective in others. Competition within a therapeutic class for

market share among drug manufacturers is often fierce.

56.

Defendant Manufacturers have developed a scheme whereby they individually

work with large dispensing pharmacies like Omnicare to effect illegal kickbacks-for-switches

schemes within therapeutic classes.

57.

Long-term care facilities, including those serviced by Omnicare, tend to contain

numerous elderly patients taking common types of medications. These include medications to

reduce blood pressure and cholesterol, as well as medications for the relief of pain and chronic

stomach discomfort. Such facilities also tend to contain numerous patients with schizophrenia

and other severe mental health diagnoses requiring antipsychotic medications.

58.

Where a particular therapeutic class of medications treating a chronic condition

common to long-term facilities contained a number of competing drugs, conditions were ripe for

a

Defendant

Manufacturer

to

enter

into

a

kickbacks-for-switching

scheme.

These

schemes

between each Defendant Manufacturer and Omnicare, entered into so that the Defendant

15

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