Salem, OR – July 19, 2025 — Oregon’s Attorney General Dan Rayfield has declared that the state will obtain over $467,000 in restitution and penalties as part of a comprehensive $202 million multistate settlement with the pharmaceutical behemoth Gilead Sciences, Inc. This agreement addresses accusations that the company engaged in illegal kickbacks to healthcare providers to increase prescriptions for its HIV medications, breaching both state and federal regulations.
The settlement, which was reached in principle with a coalition of states, arises from allegations that from 2011 to 2017, Gilead offered inappropriate financial incentives—including honoraria, extravagant meals, and travel benefits—to physicians who took part in promotional activities for the company’s HIV drugs. The medications implicated in this case include Stribild®, Genvoya®, Complera®, Odefsey®, Descovy®, and Biktarvy®.
These purported actions resulted in millions of dollars in fraudulent claims being submitted to government-funded healthcare programs, including Oregon’s Medicaid system.
“When powerful drug companies distort medical decisions with kickbacks, it’s the patients—and public trust—that pay the price,” said Attorney General Rayfield. “Oregon’s Medicaid program is a lifeline for thousands of people living with HIV. This settlement ensures accountability and helps restore integrity to the system patients rely on.”
The actions were determined to breach the federal Anti-Kickback Statute as well as state false claims regulations. This case was initially initiated by a whistleblower lawsuit submitted under both the federal and state False Claims Acts, which empower private citizens to reveal fraudulent activities against government programs.
In accordance with the settlement, Gilead has provided comprehensive factual acknowledgments regarding its actions.
