Gilead to pay US $202M in HIV drug kickback settlement

USA — Gilead Sciences has agreed to pay US $202 million to resolve allegations that it provided illegal incentives to healthcare providers to promote its HIV medications, leading to fraudulent claims submitted to federal healthcare programs. ​

The U.S. Attorney’s Office for the Southern District of New York announced that from 2011 to 2017, Gilead offered over US $23.7 million in speaker fees, lavish meals, and travel expenses to doctors participating in its promotional speaker programs.

These incentives were allegedly used to encourage prescriptions of Gilead’s HIV drugs, including Biktarvy, Complera, Descovy, Genvoya, Odefsey, and Stribild. ​

The settlement includes nearly US $177 million allocated to the U.S. government and approximately US $25 million to various states.

Gilead admitted to certain conduct but did not concede liability. The company stated that it settled to avoid the cost and distraction of potential litigation.

The case originated from a 2016 whistleblower lawsuit filed by Dr. Paul Bellman, an HIV/AIDS specialist.

Under the False Claims Act, whistleblowers can sue on behalf of the government and share in any recoveries. ​

Gilead’s HIV drug sales reached US $19.61 billion in 2024, marking an 8% increase from the previous year.

The US $202 million settlement represents a small fraction of the company’s annual HIV revenue. Gilead had previously set aside funds for this settlement in anticipation of potential liabilities. ​

U.S. Attorney Jay Clayton emphasized, “Companies that illegally drain taxpayer dollars from federal healthcare programs will be held accountable.” ​