Attorney General James recovers $26.8 million from drug manufacturer Mallinckrodt for Medicaid fraud

New York Attorney General Letitia James today announced that her office recovered $26.8 million from drug manufacturer, Mallinckrodt PLC, and its U.S. subsidiary Mallinckrodt ARD, LLC (Mallinckrodt), for cheating Medicaid requirements that help offset rising drug prices. For years, Mallinckrodt underpaid rebates to federal and state Medicaid programs for its drug, H.P. Acthar Gel (Acthar), which treats numerous conditions, including multiple sclerosis. The company failed to pay millions in required rebates that protect Medicaid programs from price surges. This agreement resolves claims against the company on behalf of all 50 states, Washington D.C., Puerto Rico, and the federal government.

“Mallinckrodt ran its business on deception at the expense of everyday New Yorkers,” said Attorney General James. “Low-income communities depend on Medicaid programs to access affordable, lifesaving healthcare and when companies cheat Medicaid programs, they hurt New Yorkers. Mallinckrodt is paying the price for years of defrauding Medicaid programs in every state out of millions of dollars. Skirting the law for corporate gain is illegal, and we are determined to protect New Yorkers from companies that cheat the system.”

Source: Attorney General James recovers $26.8 million from drug manufacturer Mallinckrodt for Medicaid fraud / FingerLakes1.com

Leave a Reply

Your email address will not be published.