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Gilead Sciences to pay $202 million in US settlement over HIV drug kickbacks
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Gilead Sciences to pay $202 million in US settlement over HIV drug kickbacks
May 25, 2025 9:07 PM

NEW YORK, April 29 (Reuters) - Gilead Sciences ( GILD )

agreed to pay $202 million to settle a whistleblower lawsuit

accusing the drugmaker of civil fraud for paying kickbacks to

doctors who agreed to prescribe its HIV drugs.

The settlement announced on Tuesday by U.S. Attorney Jay

Clayton in Manhattan resolved charges that Gilead violated the

federal False Claims Act by defrauding Medicare, Medicaid and

other programs into paying for drugs prescribed by doctors who

spoke at and attended Gilead's promotional speaker programs.

Investigators said that from 2011 to 2017, Gilead

provided more than $23.7 million of speaker honoraria, paid for

lavish meals at high-end restaurants, and covered travel costs,

including to "desirable" locations such as Hawaii and New

Orleans, for hundreds of healthcare providers.

According to settlement papers, some kickback recipients

repeatedly attended programs on the same topic, including a

group of 10 Manhattan doctors who spoke at or attended together

approximately 384 dinners.

The HIV drugs included Biktarvy, Complera, Descovy,

Genvoya, Odefsey and Stribild.

"With this settlement, Gilead has taken responsibility

for its conduct," Clayton said in a statement. "The message is

clear, companies that illegally drain taxpayer dollars from

federal healthcare programs will be held accountable."

Gilead said it settled to avoid the cost and distraction

of potential litigation. The Foster City, California-based

company had

set aside money

for the settlement in last year's fourth quarter.

The False Claims Act lets whistleblowers sue on behalf

of governments and share in recoveries.

The Gilead case was originally filed in 2016 by Paul

Bellman, a doctor who treats patients diagnosed with HIV/AIDS.

Gilead's HIV drug sales totaled $19.61 billion in 2024,

up 8% from a year earlier.

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