Sunday, February 10, 2008

Merck - more about the whistleblowers

The doctor whose lawsuit brought a $250 million settlement over prescription rebates from pharmaceutical giant Merck says some people consider him a habitual whistleblower.

But Dr. William St. John LaCorte of Metairie, a specialist in geriatric and internal medicine, is so familiar with the suits that he habitually uses the legal terms.

"Some people think I'm a pathological serial qui tam relator," he said after settlements in his lawsuit and a separate case in which Merck is paying $399 million to other plaintiffs were announced Thursday."I can't help it," he said.

As he treats elderly patients in hospitals and nursing homes, "I run across people who run widespread corporate scams while most of us are trying to deal with patients."

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H. Dean Steinke, a district sales manager for Merck, set off the investigation after he noticed his company was using questionable sales tactics.

Steinke complained to his supervisors, who brushed him off, so he turned to federal authorities.

Steinke, a 51-year-old Michigan native, will receive about $68 million from the settlement as a whistleblower reward. He said he was prompted to go to authorities after his direct supervisor told him: "I don't care how you do it, but get the damn business," when he questioned the sales practices.

"There comes a time when you just dig in your heels and say, 'You know what? They're not going to get away with it,' " Steinke said.

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