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Texas sues Eli Lilly for allegedly bribing providers to prescribe its medications

The lawsuit accuses Eli Lilly of an illegal kickback scheme that tainted millions of dollars in Texas Medicaid claims by incentivizing prescriptions of GLP-1 drugs, officials said.

  • Texas Attorney General Ken Paxton has filed a lawsuit against Eli Lilly, accusing the company of bribing medical providers to promote its drugs, including Mounjaro and Zepbound, violating state fraud prevention laws and defrauding taxpayers.
  • The complaint alleges that Eli Lilly provided illegal incentives, like free nurses, to influence prescribing patterns, resulting in unauthorized reimbursements to the state's Medicaid program under the Texas Health Care Program Fraud Prevention Act.
  • The lawsuit claims Eli Lilly's actions resulted in pharmacies and other intermediaries submitting claims that violated Texas Medicaid policy, leading to millions in unauthorized reimbursements.
  • Paxton stated that Eli Lilly prioritized corporate greed over health, manipulating the healthcare system for profit at taxpayer expense.
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regionalmedianews.com broke the news in on Tuesday, August 12, 2025.
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