Pfizer Agrees To Pay $785 Million To Settle Medicaid Drug Discount Case
The suit grew out of allegations that Wyeth, which Pfizer acquired, had hidden from Medicaid officials the discounts that it was giving hospitals on ulcer drugs.
The Associated Press:
Pfizer Agrees To $785M Settlement In Drug Discount Case
Drugmaker Pfizer Inc. has agreed to pay nearly $785 million to resolve allegations that one of its companies failed to give Medicaid the same discounts it provided to private purchasers of a heartburn treatment, federal prosecutors announced Wednesday. The tentative deal that resolves allegations filed by two whistleblowers was first announced in February, but final approval was announced Wednesday by the U.S. attorney's office in Boston. (4/27)
Bloomberg:
Pfizer To Pay $784.6 Million To Resolve Drug Discount Case
The hidden discounts meant that Medicaid paid “hundred of millions of dollars” more for the drugs than it should have from 2001 to 2006, according to a statement Wednesday from U.S. Attorney Carmen Ortiz in Boston. Pfizer, which acquired Wyeth in 2009, announced the broad terms of the agreement in February. The accord covers bundled discounts given for Protonix Oral and Protonix IV. (Spalding and Voreacos, 4/27)
Modern Healthcare:
Pfizer Finalizes $784 Million Settlement Over Medicaid Rebates
Under Medicaid, drug companies must report to the government the best prices they offer other customers on brand-name drugs. Drugmakers must then pay rebates to state Medicaid programs, based on those best prices, so Medicaid gets the same discounts as other large customers. But in this case, the government alleged that Wyeth, which Pfizer acquired in 2009, gave thousands of hospitals discounts on two of its proton pump inhibitor drugs, Protonix Oral and Protonix IV, and did not report those discounts to Medicaid. (Schencker, 4/27)
The Boston Globe:
Mass. Whistleblower Shares $98M Payment In Pfizer Settlement
A Massachusetts whistleblower will share a $98 million payout in a large settlement federal prosecutors reached with Pfizer Inc. and its Wyeth Pharmaceuticals unit for overcharging Medicaid for drugs. (Healy, 4/28)
Rochester Business Journal:
Pfizer To Pay N.Y. $55.6M To Resolve Wyeth Lawsuit
New York is in line to get a $55.6 million as the state’s share of a $784.6 million settlement between Pfizer Inc.’s Wyeth subsidiary and federal and U.S. state governments, New York Attorney General Eric Schneiderman said Wednesday. (Astor, 4/27)
The Associated Press:
Drug Companies To Pay North Carolina $45M In Settlement
North Carolina will receive $45 million in a settlement with drug makers Pfizer and Wyeth. Media outlets report that a group of states, including North Carolina, settled with the drug makers Wednesday on lawsuits alleging the companies owed millions in rebates to Medicaid for heartburn and acid reflux medications. (4/28)
WRAL (Raleigh, N.C.):
Pfizer Will Pay NC $45 Million To Settle Medicaid Rebate Shortfall
A group of states including North Carolina settled with drug maker Pfizer on Wednesday to settle two lawsuits that alleged the company owed millions in rebates to Medicaid for heartburn and acid reflux medications. Pfizer and Wyeth, which Pfizer bought in 2009, were the targets of whistleblower lawsuits filed by a former pharmaceutical sales representative and a physician. (4/27)
WWJ (Detroit)/The Associated Press:
Michigan Gets $17.2M From Settlement In Drug Discount Case
Michigan is getting $17.2 million after drugmaker Pfizer Inc. agreed to resolve allegations that one of its companies failed to give Medicaid the same discounts it provided to private purchasers of a heartburn treatment. Michigan Attorney General Bill Schuette on Wednesday detailed the state’s portion of the settlement that totals nearly $785 million. (4/27)
Pacific Business News:
Hawaii To Recover $400K In Protonix Drug Settlement
Attorney General Doug Chin said Wednesday the State of Hawaii agreed to settle allegations against Wyeth, resolving allegations that Wyeth knowingly underpaid rebates owed under Medicaid for Protonix Oral and Protonix IV sales between 2001 and 2006. The drugs are taken for ulcers. ...Approximately $371 million of the $784.6 million settlement will go to the Medicaid Program, and Hawaii’s share is $420,337.77. (Gill, 4/27)