Texas Attorney General Ken Paxton sued pharmaceutical giant Eli Lilly for allegedly “bribing and illegally inducing medical providers to prescribe its most profitable drugs, including the high-demand GLP-1 medications Mounjaro and Zepbound that are used for weight loss and diabetes treatment.” “Big Pharma compromised medical decision-making by engaging in an illegal kickback scheme,” Paxton said. “Eli Lilly fraudulently sought to maximize profits at taxpayer expense and put corporate greed over people’s health. I will not stand by while corporations unlawfully manipulate our healthcare system to line their own pockets,” he added. BREAKING: I'm suing Big Pharma drug manufacturer Eli Lilly for bribing providers to prescribe its medications. I will not stand by while corporations unlawfully manipulate our healthcare system to line their own pockets. pic.twitter.com/n8KrNLfMuJ — Attorney General Ken Paxton (@KenPaxtonTX) August 12, 2025 More from Paxton’s office: In order to enhance profits, Eli Lilly offered illegal incentives to medical providers in Texas, including “free nurses” and reimbursement support services. These inducements were designed to steer providers toward prescribing Eli Lilly’s drugs. In many cases, these prescriptions were covered by Medicaid, resulting in millions of dollars in claims to Texas Medicaid that were tainted by Eli Lilly’s illegal marketing and quid pro quo arrangements, in violation of the Texas Health Care Program Fraud Prevention Act. Texas Attorney General Ken Paxton on Tuesday sued U.S. drugmaker Eli Lilly for allegedly "bribing" providers to prescribe its medications. https://t.co/DjOykE3Uqc — Reuters Legal (@ReutersLegal) August 12, 2025 Reuters noted: The lawsuit builds upon Attorney General’s previous legal action to hold drug manufacturers accountable for fraud and abuse, the statement added. Last year, Paxton had sued insulin manufacturers, including Lilly and pharmacy benefit managers (PBMs), alleging that manufacturers artificially raised the prices of insulin and then paid a significant, undisclosed portion back to the PBMs for preferential treatment in return.