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Gilead Sciences recently disclosed the discovery of a significant counterfeiting operation involving its anti-HIV drugs. The operation, based out of two pharmacies in Queens, New York, involved the tampering and illicit resale of these essential medications.
The mastermind behind the operation, Peter Khaim, a previously convicted medical fraudster, was charged with orchestrating the counterfeiting scheme through pharmacies called 71st RX and Best Scripts. Legal documents reveal that Khaim was instrumental in the production and distribution of fake Gilead-branded HIV drugs, posing serious risks to patient health and safety.
Gilead’s lawsuit, led by attorney Geoffrey Potter of Patterson Belknap Webb & Tyler, alleges that the counterfeit drugs were distributed to unsuspecting patients in New York and New Jersey. The counterfeiters allegedly used bottles of genuine Gilead drugs but altered the contents or associated documentation. In some cases, the bottles were found to have been filled with the wrong drugs, resealed with nonstandard materials and accompanied by falsified information sheets and invoices.
The primary drugs involved in the seizure included Gilead’s Biktarvy and Descovy, which are essential in the treatment of HIV. The lawsuit details how victims were tricked into purchasing these counterfeit medications, jeopardizing their health and compromising their treatment regimens.
In July, a coordinated operation involving Gilead’s legal team and New York City sheriffs seized large quantities of counterfeit drugs, valued at more than $750,000, from both the pharmacies involved and Khaim’s residence.
Despite a previous injunction in 2021 prohibiting Khaim from marketing Gilead-branded products, he has continued his illicit activities. This ongoing legal battle underscores Gilead’s commitment to safeguarding patients and ensuring the integrity of their medications. The company continues to work with federal agencies such as the FDA, OIG, FBI, and other law enforcement agencies to combat pharmaceutical fraud and protect public health.
This case highlights the broader problem of drug counterfeiting, which not only undermines the pharmaceutical industry but also poses a serious threat to patients who rely on these essential medications for their health and well-being.
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