Teva settles $135 million dollar fraud case over Medicaid price inflation

pharmafile | January 14, 2019 | News story | Sales and Marketing |  court, fraud, law, lawsuit, pharma, price fxing 

Israeli multinational Teva Pharmaceuticals has agreed to pay $135 million after being accused of fraudulently inflating wholesale prices that went into calculating Medicaid reimbursement rates.

The payment settles a lawsuit filed in 2005 through which Teva were accused of overcharging Medicaid for medicines.

Teva denied allegations that it had overstated the wholesale price of its prescription drugs and thus defrauded taxpayers. However the firm agreed to pay the multimillion dollar sum.

Advertisement

The company faces two other lawsuits in the United States. The state of Ohio has argued that the firm overcharged the state’s Medicare programme for prescription opioids.

The2005 lawsuit, in which Teva and 46 other firms have been accused of wrongdoing, has recovered more than $436 million in settlements so far.

The news comes after Teva was accused of being a member of an industry wide price fixing cartel.

Louis Goss

Related Content

drug-trials

LGC Group opens $100M Organic Chemistry Synthesis Centre of Excellence

LGC Group, a life sciences company, has opened its new Organic Chemistry Synthesis Centre of …

blood_test

Johnson & Johnson announces successful results from trial for myeloma treatment

Global healthcare company, Johnson & Johnson, announced that analysis of its Darzalex (daratumumab) therapy showed …

Bend Bioscience adds commercial spray drying facility to Georgia site

Bend Bioscience has announced the addition of a commercial-scale spray dryer and a Gerteis dry …

The Gateway to Local Adoption Series

Latest content