Brett Milam

bmilam@enquirer.com

Salix, a pharmaceutical company, will pay the state of Ohio $1.39 million in a settlement stemming from false Medicaid claims and unlawful kickbacks, according to Ohio Attorney General Mike DeWine.

The investigation began with two whistleblower actions in 2012 and 2015.

Under the federal False Claims Act, the whistleblowers alleged that Salix paid kickbacks to health care professionals to recommend, promote and prescribe their products, according to a news release.

A Delaware company based in Raleigh, North Carolina, Salix focuses on treatments for digestive system disease and disorders. Its top-selling drug is Xifaxan, an antibiotic, which treats "traveler's diarrhea," according to court documents.

Xifaxan is also one of the drugs unlawfully promoted, along with Apriso, Relistor and other drugs, causing false claims to be submitted to the Medicaid program, the news release stated.

The company will ultimately pay states and the federal government $54 million, $16.57 million of which will go to Medicaid programs.

This is the second settlement in a number of days involving pharmaceutical companies. On June 8, DeWine announced that Ohio had also joined other states in a settlement with Genetech and OSI Pharmaceuticals, pharmaceutical companies manufacturing the drug Tarceva.

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