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State AGs 
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Iowa AG sues dozens, alleges Medicaid-drug overpricing
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Tom Miller
DES MOINES -- Iowa Attorney General Tom Miller is leaving nothing to chance in a bid to recover millions of dollars he claims drugmakers have swindled from the state's Medicaid program.

Miller announced Tuesday that he had charged a total of 78 companies with "unlawfully inflat[ing] drug costs paid by Iowa taxpayers" through Medicaid. He said the companies "deliberately inflate[d] the reported Average Wholesale Price" of their drugs to increase their reimbursement from Iowa Medicaid.

"We allege that Iowa has lost millions of dollars as a result of the practice," Miller said.

The AG's lawsuit claims Medicaid spent more than $1.6 billion on the defendants' products between 1992 and 2005 and that the reported price of their drug products "can exceed 100%, 200% or even more of the true price." Similar lawsuits in Texas have netted that state $55.1 million so far, Miller noted.

Most recently, "Big Pharma" drugmaker Aventis Behring LLC agreed to settle for $182.8 million a 50-state lawsuit against it for the pricing of its anti-nausea drug Anzemat, LNL reported. Aventis is also one of the drugmakers named in Miller's suit.

The attorney general's suit states the specific pricing examples of GlaxoSmithKline's Zantac and Pfizer's Alprazolam. Other Big Pharma defendants include Abbott, Bayer, Eli Lilly, Merck and Purdue Pharma.


Filed Under: State AGs

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MORE NEWS HEADLINES:
+ Okla. AG defends his decision not to join mortgage settlement - 2/10   read more
+ Payday lender ruled in contempt of Wis. settlement - 2/10   read more
+ Bill limiting Miss. AG's authority dead for breaking rules - 2/10   read more
+ Vermont GOP wants Sorrell to look into possible union bullying - 2/10   read more
+ Madigan recovered more than $1M for workers in 2011 - 2/10   read more
+ Mass. AG recovered $5M from labor violations - 2/10   read more
+ Blog: Mortgage settlement not all that great - 2/9   read more
+ Report: Va. AG sues over health spa memberships - 2/9   read more
+ N.H. AG settles with PetSmart over cadmium allegations - 2/9   read more
+ Conn. utilities board rules for Jepsen's motion - 2/9   read more


IN THE SPOTLIGHT:
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Wednesday, February 08, 2012
PHILADELPHIA (Legal Newsline) - A roundtable of federal and state judges from across the country will convene at the posh Ritz Carlton on Feb. 9 to address topics such as "Can MDL's keep up with state court trial settings;" "Priority of deposition examination;" "State and federal cooperation;" and "Forum non conveniens."
Read more...


+ Study shows plaintiff bias in Philly courts - 2/6
+ Fannie Mae offers examples of routine dishonesty in its fight against lenders - 2/3
+ Quaker City courts have troubled history; some reject 'plaintiff-friendly' criticism - 1/31
+ Madison County asbestos docket feeds off intake firm referrals - 1/19
+ Torts conference set for Feb. 8 in Philly - 1/18
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