Simple Proof That Philidor Has Shipped Drugs Where It Is Non Licensed

The Wall Street Journal has a fabulous article about Valeant's ties to Philidor - its captive specialty pharmacy.

In it they advise that Valeant staff double nether simulated names equally Philidor staff.

The role of choice names yesteryear workers at Philidor is 1 of a pose out of novel details emerging almost the human relationship betwixt Valeant too the network of specialty pharmacies it uses to distribute drugs. The human relationship is at the middle of questions that investors receive got raised almost the forcefulness of the drug company’s operations too the disclosures of its concern ties.

Citron Research alleged that Philidor was used equally a method of channel stuffing. However I mean value that it is to a greater extent than probable that it is used equally a machinery for customers to purchase too insurance companies to pay for drugs that they would non receive got otherwise done so.

Two methods are - it seems - used to create this. One has been widely discussed - copay assistance.

The other is using advert of a chemist that is seemingly unrelated (or at to the lowest degree where the human relationship has non been disclosed) to "fill" the prescription. That chemist essentially donates or lends their NPI number. The captive pharmacies are variable involvement entities because they are controlled simply non owned. Valeant would inwards this illustration wishing to shroud their ownership.

There is a courtroom illustration betwixt Isolini (almost for certain an undisclosed Philidor too thence Valeant subsidiary) too R&O pharma (a chemist's shop alongside a license inwards California). You tin dismiss discovery the Isolini documents here (warning large folder).

The green explanation for why Philidor wanted to role R&O pharma was that Philidor had been denied a license to operate inwards California and R&O had such a license.

We nonetheless receive got our doubts. One of the Isolini documents (provided yesteryear the Philidor/Valeant side of the transaction) had an account for all the production that had been shipped inwards R&Os advert too for which R&O owed money.

That listing contained identification numbers. We discovered that those numbers were inwards fact UPS transportation numbers too each of these deliveries is traceable. This (linked) document is a listing of UPS tracking numbers.

And those deliveries went all over the United States. They went to California - sure - simply they too went to other addresses.

Some went to States where Philidor was licensed simply non R&O. Some went to States where R&O was licensed simply non Philidor. Some went to States similar Oregon where neither R&O nor Philidor was licensed.

So hither is the pertinent question: why would Philidor (which is staffed yesteryear Valeant staffers using mistaken names) role the advert of a two-bit chemist's shop to transportation prescriptions all over the U.S. including to States where the two-bit chemist's shop was non licensed?

The exclusively explanation I tin dismiss come upwards up alongside - too 1 that the companionship should address inwards the conference telephone band - is that they did it because they were getting rejections or audits from insurance payers when using Philidor's name. Hence they used the NPI pose out of some other chemist's shop too the payers paid without audit.

I aspect the companionship to render an choice explanation inwards the conference telephone band because this looks similar deception using a transportation service to deprive belongings from a fiscal institution: classic transportation fraud. And because it is against an insurance companionship (a finacial institution) the monetary punishment is upwards to $1 1000000 per instance. And each illustration is divide too fines are cumulative.

Don't fifty-fifty endeavour to operate out the fine.




John

PS. These conclusions are broadly similar to Roddy Boyd's most recent article (which is excellent).

For reference hither are the start hundred or too then of many UPS numbers - used the linked document to come across them all.

1ZX101A60240754571
1ZX101A60242624449
1ZX101A60241063100
1ZX101A60242658805
1ZX101A60241684752
1ZX101A60241980815
1ZX101A60242805208
1ZX101A60242086012
1ZX101A60240757121
1ZX101A60240758102
1ZX101A60242906831
1ZX101A60241155850
1ZX101A60242203715
1ZX101A60240602878
1ZX101A60240039648
1ZX101A60242264356
1ZX101A60242391594
1ZX101A60241428458
1ZX101A60342259486
1ZX101A60241293362
1ZX101A60240186677
1ZX101A60340954406
1ZX101A60242821655
1ZX101A60241770006
1ZX101A60242709296
1ZX101A60240831782
1ZX101A60242691331
1ZX101A60240019660
1ZX101A60242398873
1ZX101A60140680607
1ZX101A60241977427
1ZX101A60241013495
1ZX101A60241624398
1ZX101A60242433744
1ZX101A60340241560
1ZX101A60240482427
1ZX101A60242512695
1ZX101A60240122244
1ZX101A60242894854
1ZX101A60240029775
1ZX101A60140262096
1ZX101A60241940966
1ZX101A60241501752
1ZX101A60242341496
1ZX101A60242668910
1ZX101A60240097737
1ZX101A60242248374
1ZX101A60240482687
1ZX101A60241814950
1ZX101A60242882492
1ZX101A60241780068
1ZX101A60241667011
1ZX101A60241160193
1ZX101A60242731172
1ZX101A60341260396
1ZX101A60241699059
1ZX101A60240737849
1ZX101A60241162664
1ZX101A60242866698
1ZX101A60240670394
1ZX101A60242211448
1ZX101A60240978964
1ZX101A60240710162
1ZX101A60241348839
1ZX101A60240671231
1ZX101A60242518340
1ZX101A60242063582
1ZX101A60242699879
1ZX101A60241070718
1ZX101A60242438016
1ZX101A60242040249
1ZX101A60241181018
1ZX101A60240271897
1ZX101A60341132597
1ZX101A60241975116
1ZX101A60241652643
1ZX101A60240390311
1ZX101A60341236109
1ZX101A60240332777
1ZX101A60242258005
1ZX101A60342564468
1ZX101A60341206829
1ZX101A60240541934
1ZX101A60241997969
1ZX101A60241709001
1ZX101A60240386979
1ZX101A60240152999
1ZX101A60240300622
1ZX101A60241346322
1ZX101A60342328302
1ZX101A60240511887
1ZX101A60242099651
1ZX101A60241627260
1ZX101A60241694269
1ZX101A60242067668