A fable for our time

Once upon a time, in a village, a man appeared and announced to the villagers that he would buy monkeys for $10 each. The villagers, seeing that there were many monkeys around, went out to the forest and started catching them. The man bought thousands at $10 and, as supply started to diminish, the villagers stopped their effort. He further announced that he would now buy at $20 for a monkey.

This renewed the efforts of the villagers and they started catching monkeys again. Soon the supply diminished even further and people started going back to their farms. The offer increased to $25 each, and the supply of monkeys became so small that it was an effort to even find a monkey, let alone catch it! The man now announced that he would buy monkeys at $50!

However, since he had to go to the city on some business, his assistant would now buy on behalf of him. In the absence of the man, the assistant told the villagers. "Look at all these monkeys in the big cage that the man has collected. I will sell them to you at $35, and when the man returns from the city, you can sell them to him for $50 each."

The villagers rounded up all their savings and bought all the monkeys.
They never saw the man nor his assistant again, only monkeys everywhere!

Now you have a better understanding of how the stock market works.

The Great Schlep

http://www.thegreatschlep.com/site/index.html

J&J - Ortho Evra: $68 million and climbing

Johnson & Johnson has spent at least $68.7 million to settle hundreds of lawsuits filed by women who suffered blood clots, heart attacks or strokes after using the company's Ortho Evra birth-control patch, court records show.

More at Bloomberg

Takeda - alogliptin: delay…..hmmm!

Takeda, Japan's biggest drugmaker, said on Friday that U.S. health authorities have not been able to complete a review of alogliptin or SYR-322, which is critical to Takeda's mainstay diabetes business as it is expected to be the main replacement for its best-selling Actos.


Actos generates almost 30 percent of Takeda's sales but loses U.S. patent protection in 2011.

More

The Wire - Big Pharma style


The US government's investigation into Cephalon's illegal marketing practices that culminated in a $425,000,000 settlement and guilty plea by the pharmaceutical company began in January 2003 with a Cephalon sales representative in Ohio.

The sales representative, Bruce Boise, refused to follow company-ordered sales strategies to convince doctors to prescribe Cephalon's Actiq, Gabitril and Provigil drugs for unapproved ("off-label') uses because he was worried the sales practices were illegal and the "off-label" uses were dangerous for patients.

Boise was so concerned about Cephalon's off-label marketing that he contacted the Food and Drug Administration (FDA) to inform them of what the company was doing and then agreed to wear a wire to a company sales conference to help the government gather evidence.

The decision to report Cephalon to the FDA cost Boise his job and future employment in the pharmaceutical industry. But his information helped end Cephalon's illegal marketing practices that put patients at risk and led to the settlement.

Bruce, plus three other whistleblowers received a $46 million reward for this.

Story

Plus a recent Washington Post article stated they have enough qui tam suits to keep them busy for the next ten years!
And, out of 900+ cases, over 500 have to do with the healthcare industry............Kerching!