AUSTIN, TEXAS (Attorney General) – Texas Attorney General Ken Paxton has resolved an enforcement action against New Jersey-based pharmaceutical product manufacturer Glenmark Generics Inc. USA.
The agreement resolves the State’s investigation under the Texas Medicaid Fraud Prevention Act (“TMFPA”) against Glenmark for fraudulently reporting inflated drug prices to the Medicaid program.
Under the settlement agreement, Glenmark must pay the State of Texas a total of $11.25 million for the State’s general revenue fund. Because the Medicaid program is jointly funded by the State and U.S. taxpayers, the federal government is entitled to a percentage of the settlement proceeds. The federal government’s share is also $11.25 million. Additionally, the Texas Attorney General’s Office will receive $2.5 million in attorneys’ fees and costs.