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Falsifying data about clinical drug trials

On Behalf of | Jun 21, 2022 | Criminal Defense

In the healthcare industry, fraudulent drug companies spread misinformation and disinformation to millions of consumers. One type of healthcare fraud in Texas is falsifying data related to clinical drug trials. The goal of fraudsters is to promote a drug as being safer than it is and boost its sales and their earnings.

Different types of fraud

The scam of data falsification often consists of different types of white collar crimes. The fraudster may commit wire fraud by spreading disinformation through the phone or internet or commit money laundering by concealing or transferring illegally obtained money.

The Food and Drug Administration

Some drug companies that falsify clinical trials make false and misleading statements to the Food and Drug Administration (FDA). They are required to submit the details of their trials to the FDA, and the organization reviews the information to ensure that the researchers are following their regulations.

Criminal punishments

Defrauding the FDA is a federal crime that affects large numbers of people. Individuals and companies that are convicted face the highest fines and prison sentences. Violating the Food Drug and Cosmetic Act results in misdemeanor fines, starting with $100,000, if there is no accidental death, and rising to $500,000 per offense if a corporation caused a death.

Falsifying data for clinical drug trials for profit increases the dangers of taking unsafe drugs that are claimed to be safe. The risks of deaths and serious injuries are increased when untested drugs are put on the market. The FDA is responsible for researching clinical trials, conducting investigations of wrongdoing and enforcing federal laws. The severity of the punishment depends on the extent of the injuries, the number of victims and the previous history of violations.