On January 19, 2012, Bloomberg News published an article regarding a suit filed against Johnson & Johnson, which contended that the company knowingly hid studies showing that the antipsychotic drug Risperdal could cause diabetes in those taking the medication. Research findings from these studies showed that patients taking Risperdal could develop “medically serious weight gain” which could in turn cause diabetes. The lawsuit further alleged that Johnson & Johnson defrauded the Medicaid program in Texas by marketing Risperdal for unapproved uses and by not disclosing the drug’s risks to doctors.
The suit also alleged that Johnson & Johnson did not disclose the results of these studies to the U.S. Food and Drug Administration (FDA), even when the agency was investigating the link between diabetes and anti-psychotic medication in 2000. The FDA was looking into whether to change label warnings on anti-psychotic medication, such as Risperdal, to indicate an elevated risk of diabetes from its use. Although studies conducted by Johnson & Johnson showed that Risperdal had a similar risk of diabetes when compared to other anti-psychotic drugs on the market, the suit contended that the company falsely marketed Risperdal as superior to these other drugs.
Johnson & Johnson has agreed to settle the claims related to this lawsuit. This settlement resolves the state’s allegations of Medicaid fraud claims regarding unapproved marketing of Risperdal. The case is styled Texas v. Janssen LP, D-11-GV-04-001288, District Court, Travis County, Texas (Austin).
See the full Bloomberg News article regarding details of the case at:
See the full Bloomberg News article regarding settlement of the case: