30-month prison sentence handed to former Insys Therapeutics CEO for opioid fraud

Spinal Tech
Alan Condon -

Former Insys Therapeutics CEO Michael Babich was sentenced to 30 months in prison Jan. 22 for his role in a kickback scheme encouraging physicians to prescribe more opioids, Bloomberg Law reports.

Prosecutors said Mr. Babich engaged in daily calls with Insys founder and former CEO John Kapoor and other executives — convicted in May — in the scheme and tracked sales of the company's painkiller, Subsys.

Mr. Babich cooperated with prosecutors in the May trial, in which he detailed the kickback scheme to the jury.

A string of ex Insys employees were recently convicted in the scheme, including two former regional sales managers, a former national sales director and a former vice president.

Prosecutors are seeking a 15-year sentence for Mr. Kapoor Jan. 23.

Editor's note: This story will be updated as more information becomes available.

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