Drug Makers Take Over From Defense Contractors, Dominate Fraud Payout List

Tuesday Briefing

May 22, 2012 |

Maryland becomes first state to prohibit additive containing arsenic in chicken feed. Gov. Martin O’Malley today signed into law a measure that bans roxarsone, a drug to help chickens grow and fight parasites. Pfizer Inc., the company that produces roxarsone, stopped selling it last year after a U.S. Food and Drug Administration study found higher inorganic arsenic levels in chickens given the additive. Tom Hucker, a Democrat who sponsored the bill in the Maryland House, said the law is needed to prevent arsenic additives from being used again. He said Maryland’s action could embolden lawmakers in states with far bigger poultry industries, such as Georgia, North Carolina and Arkansas. The Associated Press, The Washington Post

Dog bite claims gobble up bigger insurance payouts. The incidents accounted for more than one-third of U.S. homeowners insurance liability claims paid in 2011, costing nearly $479 million. The Insurance Information Institute said the average cost of the claims, which include medical and legal expenses, was $29,396 last year, up from $19,162 in 2004. The American Tort Reform Association, a business group, faulted trial lawyers in California and Illinois, the states with the biggest payouts, for “seizing on yet another money making opportunity.” But an insurance official largely attributed the trend to more people owning dogs and to more parents getting advanced medical care for children who suffer bites. USA Today, Judicial Hellholes

Controversial head of Nuclear Regulatory Commission to step down. Gregory B. Jaczko, whose three years as commission chairman have been marked by battles with colleagues and Congress, said he will leave as soon as a successor is confirmed. The commission’s inspector general is preparing a report expected to repeat previously aired charges of mismanagement and verbal abuse of subordinates. Jaczko sought to address longstanding safety problems at the 104 nuclear power reactors in the U.S., and won praise for the U.S. response after the triple meltdown of Japan’s Fukushima Daiichi reactors last year. But he was viewed with skepticism by some industry insiders, and became a target of Republican critics. The New York Times, The Washington Post

Panel advises dropping PSA test for prostate cancer screening. The U.S. Preventive Services Task Force concluded that the side effects from needless biopsies and treatments hurt many more men than are potentially helped. At best, it found, one life will be saved for every 1,000 men screened over 10 years. But 100 to 120 men will have suspicious results when there is no cancer, triggering biopsies that can carry complications. If cancer is detected, 90 percent of men are treated with surgery or radiation even though most tumors are not life-threatening. “There is a small potential benefit and a significant known harm,” said the head of the task force. The American Urological Association disputed the recommendation. Los Angeles Times

Fatal building collapse leads to proposed fines of $77,880 against New York contractor. The U.S. Occupational Safety and Health Administration charged SP&K Construction of Brooklyn, N.Y., with 11 safety violations in connection with the accident last November in the Brighton Beach neighborhood. OSHA said the company knew that the building was unstable but went ahead anyway with pouring concrete from the top down, leading the building’s third, fourth, and fifth floors to collapse. Along with the worker who was killed, four others were hospitalized with injuries. “Had proper procedures and safeguards been followed, this fatal collapse could have been prevented,” an OSHA official said. New York Daily News, OSHA

Recalls: 4ZA bicycle handlebar stems, Diamond Pet Foods dry dog food (expanded recall), River Ranch Fresh Foods bagged salads (expanded recall) 

 Compiled by Stuart Silverstein

Monday Briefing

May 21, 2012 |

United Kingdom lowers expectations for shale gas. Supporters of the controversial drilling practice known as fracking -- which blasts water, sand and chemicals at extreme pressures to release gas trapped deep in rock – have argued it could transform Britain's energy market. But the government is backing away from the idea. Industry experts disclosed at ...

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