Merck, a pharmaceutical company based in Whitehouse Station, N.J., has announced it will appeal a federal verdict that found the company liable to pay $4.6 million for allegedly overcharging Massachusetts Medicaid, according to a company news release.
Merck's subsidiary Warrick Pharmaceuticals was accused of causing Medicaid to overpay local pharmacists for prescriptions of its drug albuterol, which treats asthma and other pulmonary conditions. Warrick allegedly charged the federal program more for the drug than it charged other insurance companies, according to the news release.
The company contends Warrick was never required or asked to provide information to the state about the price at which it sold albuterol. It has also said Warrick reported true and accurate prices to other parties, including federal entities, and believes the state had accurate information about albuterol prices from sources other than Warrick, according to the news release.
Read the company's news release about its appeal on the albuterol case.
Read other coverage about pharmaceutical company fraud:
- Novartis Pays $422M to Settle Allegations of Illegal Drug Promotion, False Claims, Paying Kickbacks
- Pharmaceutical Company Allergan Agrees to Pay $600M for Paying Kickbacks to Physicians, Promoting Unapproved Use of Botox, Other Violations of False Claims Act
- New Jersey Pharmaceutical Company Settles Medicaid Fraud Allegations for $2M
Merck's subsidiary Warrick Pharmaceuticals was accused of causing Medicaid to overpay local pharmacists for prescriptions of its drug albuterol, which treats asthma and other pulmonary conditions. Warrick allegedly charged the federal program more for the drug than it charged other insurance companies, according to the news release.
The company contends Warrick was never required or asked to provide information to the state about the price at which it sold albuterol. It has also said Warrick reported true and accurate prices to other parties, including federal entities, and believes the state had accurate information about albuterol prices from sources other than Warrick, according to the news release.
Read the company's news release about its appeal on the albuterol case.
Read other coverage about pharmaceutical company fraud:
- Novartis Pays $422M to Settle Allegations of Illegal Drug Promotion, False Claims, Paying Kickbacks
- Pharmaceutical Company Allergan Agrees to Pay $600M for Paying Kickbacks to Physicians, Promoting Unapproved Use of Botox, Other Violations of False Claims Act
- New Jersey Pharmaceutical Company Settles Medicaid Fraud Allegations for $2M