'Hypocrite' Democrat prosecutor scored $25 million from billionaire father's drug firm Regeneron despite DOJ fraud investigation

A Democrat federal authoritative connected a 'corporate fraud onslaught force' has been accused of fertile hypocrisy for profiting from $25million worthy of shares from his billionaire father's cause steadfast aft the Justice Department alleged the institution defrauded Medicare.

Los Angeles authoritative Adam Schleifer, a erstwhile Democrat congressional campaigner and subordinate of the DOJ's 'Corporate & Securities Fraud Strike Force', is the lad of Regeneron CEO Leonard Schleifer, who is worthy $2.5billion according to Forbes.

The aforesaid $75billion pharmaceutical institution is celebrated for its Covid-19 antibody cocktail utilized by Donald Trump towards the extremity of his archetypal word successful the White House. 

The DOJ accused the cause firm of taking 'fraudulently inflated Medicare reimbursement rates' for its macular degeneration drug, Eylea.

Regeneron filings obtained by DailyMail.com amusement that successful June 2024, 2 months aft the DOJ filed its civilian complaint, 25,000 institution shares were sold – sending $25,383,828.68 to a spot 'for the payment of Adam P. Schleifer'.

Former Trump administration official Robert Wasinger accused Schleifer of 'rank hypocrisy' implicit the $25million sale, telling DailyMail.com that helium believes profiting from a institution accused of defrauding the authorities was unacceptable for an anti-fraud prosecutor.

'The nationalist is yet waking up to the fertile hypocrisy and corruption of our justness system,' Wasinger, Trump's erstwhile White House Liaison to the State Department, told DailyMail.com.

'How is it that Adam Schleifer tin service connected a DOJ Corporate Fraud Task Force portion astatine the aforesaid clip selling $25million successful Regeneron banal 2 months aft the authorities sues them for a monolithic Medicare fraud?'

As the millions are held successful a spot for Schleifer, it is unclear whether helium oregon idiosyncratic other directed the sales. 

Corporate filings besides amusement the national authoritative is entitled to an yearly allowance of up to $250,000 successful flights with his begetter connected Regeneron's Gulfstream G450 backstage jet.

An capitalist report published successful 2024 by the cause institution says Adam's CEO father, arsenic good arsenic his woman and children if they travel him, are allotted up to $250,000 a twelvemonth of 'personal aerial travel' successful the firm's jet, to 'provide a much unafraid environment'.

But the latest institution study for their 2023 spending shows Leonard maxed retired his $250,000 allowance for backstage pitchy question connected trips for himself and his family.

Adam Schleifer declined to remark to DailyMail.com.

A spokesperson for the Los Angeles DOJ bureau said Schleifer's banal ownership was 'irrelevant' to his existent enactment arsenic a national prosecutor.

The Justice Department's civilian ailment against Regeneron was filed successful April past year.

It claims the steadfast subsidized recognition paper fees for Eylea's distributors, specified arsenic ophthalmologist clinics, but hid those payments successful their reports to Centers for Medicare and Medicaid Services, and received inflated reimbursements of payer wealth for its cause sales.

'We volition not licence pharmaceutical companies to flout terms reporting requirements to support precocious cause prices,' Principal Deputy Attorney General Brian Boynton said successful a statement when the DOJ suit was filed.

A Regeneron spokeswoman told DailyMail.com the DOJ's claims, filed successful a Massachusetts national court, are 'without merit' and show 'a cardinal misunderstanding of cause terms reporting standards'.

She said the payments were a 'lawful reimbursement of costs incurred by our specialty distributors'.

Total US income of Eylea reached $5.7billion successful 2023, and Medicare has spent $11.5billion connected the cause since 2013 according to tribunal filings.

Prosecutor Adam Schleifer has straight owned arsenic galore arsenic 29,275 shares of Class A Regeneron stock, according to a company filing from 2006.

A notice of Regeneron stock income filed with the Securities Exchange Commission connected June 12, 2024, listed 25,000 shares sold for a full $25,383,828.68, successful 3 transactions betwixt June 6 and June 12.

The 'Trust f/b/o Adam P. Schleifer' was listed nether the seller's sanction for those 3 sales.

Schleifer's involvement successful Regeneron besides became an contented during his 2020 run for New York's 17th legislature territory - which includes the affluent region of Westchester wherever Regeneron's office are located.

Six different Democratic superior candidates pledged to divest from pharma banal if they won to debar conflicts of involvement erstwhile regulating cause companies. Schleifer did not articulation the pledge. 

An opponent's run manager adjacent reportedly accused him successful June 2020 of 'using millions of his cause institution inheritance to effort to bargain this election', aft helium funded his run with much than $5million of his ain cash, according to the politics newsletter Sludge.

FEC records amusement Schleifer loaned and donated $5,197,000 of his ain wealth to his 2020 run and raised a further $530,000 from different donors.

Schleifer mislaid successful the primary, and successful January 2021, returned from his year-long hiatus to his authoritative occupation astatine the DOJ's Los Angeles bureau wherever helium had been moving since 2016.

Adam's begetter Leonard Schleifer, whose nett worthy is $2.5billion, is president and CEO of Regeneron, and owns 2 percent of its communal stock, according to Forbes.

The $75billion NASDAQ-listed steadfast was thrust into the spotlight during the tallness of the Covid-19 pandemic successful 2020 when Donald Trump praised the effectiveness of its antibody cocktail REGN-COV2, which helium took.

Regeneron was accused of skullduggery successful a 2021 suit by shareholders, who claimed executives including Leonard Schleifer reaped implicit $650 cardinal successful banal income aft making fake donations to a 'sham' foundation arsenic portion of an 'audacious and illicit scheme' strategy to inflate their cause prices since 2013.

The shareholder's claim came aft the DOJ besides sued Regeneron implicit the aforesaid alleged foundation 'kickback' strategy successful 2020.

The ineligible complaint, filed in a New York national tribunal successful July 2021, claimed Regeneron executives made donations to an allegedly fake foundation called the Chronic Disease Fund (CDF), which purportedly helped patients with aesculapian attraction costs.

But the CDF was not independent, the suit claims, and they allegedly utilized the wealth to wage for patients' and doctors' costs for Regeneron's flagship cause Eylea - pushing them to usage that cause implicit others. 

'Regeneron's payments to the CDF ensured that virtually nary Medicare diligent paid a copay, deductible oregon coinsurance magnitude connected Eylea,' the ineligible filing said.

According to the complaint, it meant that alternatively of utilizing Avastin, a $55-per-dose off-label alternative, they utilized Eylea and charged Medicare $1,850 per dose.

'Thus, Regeneron would pouch the higher full income price, expanding its full revenues, astatine Medicare's expense,' the suit by Regeneron shareholder Donald Ball said.

'The company's fiscal presumption – and so its quality to proceed to bash concern – has been imperiled by the idiosyncratic defendants' audacious and illicit scheme.'

Leonard Schleifer was among 16 executives named successful the lawsuit.

When the DOJ announced their 2020 lawsuit for the alleged scheme, Massachusetts US Attorney Andrew Lelling said Regeneron 'funneled tens of millions of dollars successful kickbacks,' adding that 'senior institution executives allegedly took extended measures to screen up the scheme'.

Regeneron denies the claims. 

A Regeneron spokeswoman told DailyMail.com that the sums donated to CDF were 'lawful, charitable donations' adding that 'Regeneron is arrogant to enactment charitable co-pay assistance foundations'.

'Regeneron has afloat cooperated with the Government's investigations and volition vigorously support itself successful court,' the spokeswoman said.

The DoJ’s civilian lawsuit against Regeneron is ongoing, but has not yet gone to proceedings and has been successful limbo since December 2023, portion the authorities and cause institution person been battling successful an appeals tribunal implicit aspects of the case.

‘I bash person my occupation for life, truthful hopefully this lawsuit volition beryllium resolved during that span of time, God willing,’ the justice joked successful the astir caller presumption league connected December 29, 2023.

The CDF did not respond to DailyMail.com's petition for comment.