Feds investigate fake drug ads on Google (Morning Read)

Current medical news and unique business news for anyone who cares about the healthcare industry.

DOJ investigates pharma ads: Google (NASDAQ:GOOG) took a first quarter $500 million charge related to a U.S. Department of Justice probe of possibly fraudulent pharmaceutical advertising on the site, notes Forbes. Google is negotiating a settlement with the U.S. Department of Justice and the $500 million has been set aside for a potential settlement. Authorities aren’t commenting and neither is Google. But a legal expert tells the The New York Times that websites are liable for advertising that breaks federal law.

Benefits of early HIV treatment: A new study finds that HIV patients who receive treatment as soon as they’re diagnosed are less contagious, slashing transmission to their partners by 96 percent, Bloomberg BusinessWeek reports.

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Got milk? Researchers in Italy found that some people who believe they’re lactose intolerant might actually have a psychological condition where they think they’re unable to process lactose. The research found that even though patients reported symptoms, no physical cause could be found.

PPO costs more than double: Healthcare costs for a family of four enrolled in a preferred provider organization have gone from $9,235 in 2002 to $19,393, according to the Millliman Medical Index.

Dealflow: Cell Biosciences acquires Canada-based Brightwell Technologies for $9 million; Takeda Pharmaceuticals reportedly in talks to buy Nycomed for $14 billion; Biodel to raise $30 million.

Frank Vinluan

Frank Vinluan is the North Carolina Bureau Chief for MedCity News.

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