Thursday, March 11, 2021

Compounding Activities | COVID-19--guidance from the FDA

FDA is working to provide guidance to states and compounders on issues associated with compounding drugs during the COVID-19 pandemic. The agency’s guidance aims to protect patients from unsafe, ineffective and poor-quality compounded drugs, while preserving access for patients.

Outsourcing Facility Product Reports for Hospitalized Patients with COVID-19

The agency issued a guidance for temporary compounding of certain drugs by outsourcing facilities during the COVID-19 public health emergency. Hospitals that cannot obtain FDA-approved drugs covered by the guidance and seek to use compounded drugs for their patients should first contact outsourcing facilities, which produce compounded drugs under more robust quality standards than those made by state-licensed pharmacies or federal facilities not registered as outsourcing facilities. Hospitals can use the product report to help determine which outsourcing facilities are compounding drugs used for hospitalized patients with COVID-19.

Policy Clarifications

  • The agency’s draft hospital and health systems guidance, which includes the “one mile radius” provision, is still in draft and we are planning to issue a revision. This draft guidance was issued for public comment and has not been implemented.
  • Although federal law specifies a 5 percent limit on distribution out of state of drugs compounded by pharmacies and physicians regulated under section 503A of the Federal Food, Drug and Cosmetic Act, the agency does not intend to enforce the 5 percent limit until after the agency has finalized a Memorandum of Understanding (MOU) and given states an opportunity to sign it.
  • The agency does not consider drugs that are on FDA’s shortage list or that have been discontinued and are no longer marketed to be “commercially available” under the “essentially a copy” provision for pharmacy and physician compounders regulated under section 503A of the FD&C Act.
  • The agency does not consider a compounded drug produced by an outsourcing facility to be “essentially a copy” if it is identical or nearly identical to an FDA-approved drug that is on FDA’s drug shortage list. The agency also does not intend to take action under this provision if the facility fills orders for a compounded drug that is essentially a copy of an approved drug that has been discontinued and is no longer marketed.

Specific Compounded Drug Concerns Related to COVID-19

Compounded drugs are not FDA-approved. This means they have not undergone premarket review for safety, effectiveness or manufacturing quality. Because they are subject to a lower regulatory standard, compounded drugs should only be used to meet the needs of patients whose medical needs cannot be met by an FDA-approved drug. The agency recommends FDA-approved drugs be used to treat patients whenever possible. FDA has concerns about the use of certain drugs prepared by compounders to treat patients with COVID-19:  

  • Thymosin-alpha 1 is not a component of an approved drug, and thymosin does not meet the conditions for compounding under sections 503A and 503B of the FD&C Act. FDA will take appropriate action against compounders that produce thymosin. The agency is aware of drug products containing thymosin being offered to patients for the treatment of COVID-19. However, thymosin is not approved to treat any condition, including COVID-19.
  • FDA recommends that the FDA-approved drug Veklury (remdesivir) be used to treat patients who are prescribed remdesivir. FDA is concerned that complexities related to the quality and sourcing of the remdesivir active pharmaceutical ingredient (API) and formulation of remdesivir drug products may make these drugs particularly challenging to compound. The agency is concerned patients may receive substandard or low-quality compounded remdesivir drugs which could result in patient harm. 

Contact Us

FDA is responding to stakeholder inquiries on issues associated with compounding drugs during the COVID-19 emergency. Contact compounding@fda.hhs.gov with any questions.


Resources

 

More information on Coronavirus (COVID-19) | Drugs

Bryant Ranch Prepack Issues Voluntary Nationwide Recall of Spironolactone 25 mg and 50 mg Tablets Due to Mislabeling with the Incorrect Strength (Revision to Press Release with Same Title Dated 3/9/2021. Revision Includes Number of Bottles Impacted by Recall)

https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/bryant-ranch-prepack-issues-voluntary-nationwide-recall-spironolactone-25-mg-and-50-mg-tablets-due?utm_medium=email&utm_source=govdelivery 

Tuesday, March 9, 2021

HHS Issues Revisions to Safe Harbors Under Anti-Kickback Statute

https://www.natlawreview.com/article/hhs-issues-revisions-to-safe-harbors-under-anti-kickback-statute 

 Department of Justice

U.S. Attorney’s Office
District of New Jersey

FOR IMMEDIATE RELEASE
Monday, March 8, 2021

Former Police Officer Admits Role in Multimillion-Dollar Compounded Prescription Drug Scheme

NEWARK, N.J. – A former police officer with the North Brunswick police department today admitted his role in a multimillion-dollar scheme that defrauded state health benefits programs through the submission of medically unnecessary prescriptions for compounded medications, Acting U.S. Attorney Rachael A. Honig announced.

Daniel Passafiume, 45, of Monroe, New Jersey, pleaded guilty by videoconference before U.S. District Judge Michael A. Shipp to an information charging him with conspiring to commit health care fraud.

According to documents filed in this case and statements made in court:

Between January 2014 and November 2016, Passafiume and a conspirator, identified as CC-1 in the information, marketed certain prescription “compounded medications,” including vitamins and pain creams, to beneficiaries of New Jersey state insurance plans, including the State Health Benefits Program (SHBP). These insurance plans paid thousands of dollars for compounded medications, which are specialty medications mixed by a pharmacist to meet the specific medical needs of an individual patient. Although compounded drugs are not approved by the Food and Drug Administration (FDA), they are properly prescribed when a physician determines that an FDA-approved medication does not meet the health needs of a particular patient because, for example, the patient is allergic to a dye or other ingredient or requires the medication in a different form.

Passafiume and his conspirator had agreements with pharmacies to collect large commission payments for each prescription they obtained for the pharmacy. Passafiume and CC-1 found individuals with these insurance plans and connected them with doctors who were willing to sign prescriptions without an examination or a determination that the individuals needed the compounded medications. Those recruited to obtain prescriptions included employees of a New Jersey police department, family members of these employees, and Passafiume’s own family members. At times, Passafiume provided beneficiaries with cash, checks, and gift cards for agreeing to obtain these prescriptions.

The conspiracy charge carries a maximum potential penalty of 10 years in prison and a fine of $250,000 fine, or twice the gain or loss from the offense, whichever is greater. As part of his plea agreement, Passafiume must forfeit $284,659 in criminal proceeds and pay restitution of $3.27 million. Sentencing is scheduled for July 12, 2021.  

Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, with the investigation leading to today’s guilty plea.

The government is represented by Senior Trial Counsel Leslie Faye Schwartz of the Special Prosecutions Division and Assistant U.S. Attorney Osmar J. Benvenuto of the Health Care Fraud Unit in Newark.

Topic(s): 
Health Care Fraud
Component(s): 
Press Release Number: 
21-084

 

FDA Seeks Win In Suit Over Compounded Drug Agreements

Law360 (March 4, 2021, 8:58 PM EST) -- The federal government is gunning to end a group The pharmacies lodged the case on the same day the FDA issued the regulations. The complaint alleged that the FDA's recent memorandum of.

 

News Articles | RAPS - Regulatory Affairs Professionals Society

22 hours ago — FDA has concerns about the use of certain drugs prepared by compounders to treat COVID-19,” wrote the agency on its web page addressing compounding 

 

Robinson, Defendant In Federal Doping Indictment ...

3 hours ago — (Mangini, who has been charged with two counts of drug adulteration and ... of his compounded omeprazole ulcer treatment” to the program in 2010 and 2011.

FDA pushes back on suit against compounded drug regulations

 https://www.fdanews.com/articles/201726-fda-pushes-back-on-suit-against-compounded-drug-distribution-regulations?v=preview

 

Former North Brunswick Police Cop Admits Role in ...

6 hours ago — Although compounded drugs are not approved by the Food and Drug Administration (FDA), they are properly prescribed when a physician determines that an FDA .