After Pfizer acquired Pharmacia in April 2003, former Pharmacia executive Peter Rost filed a False Claims Act lawsuit alleging that the company promoted Genotropin, a human growth hormone, for unapproved adult uses including anti-aging, cosmetic, and athletic-performance purposes. Rost also alleged that the marketing generated fraudulent claims against the federal government. The Department of Justice declined to join his case because Pfizer had already disclosed the marketing conduct and dismissed the FCA claims in 2006 and again in 2010 for failure to establish fraud against the government.
On April 2, 2007, two Pharmacia subsidiaries pleaded guilty and agreed to pay $34.7 million in civil and criminal penalties for illegal off-label promotion and kickbacks. One subsidiary had offered to overpay an Express Scripts subsidiary by $12.3 million to induce recommendations of Genotropin over competing human-growth-hormone products. Pfizer fired Rost in December 2005; a court later ruled that evidence supported Pfizer’s claim that his position had been slated for elimination after the merger, rather than terminated in retaliation for whistleblowing. Rost, Pfizer, and the DOJ settled the remaining litigation in August 2013 on undisclosed terms.