EpiPen maker agrees to $465M settlement
edly overcharging the government for its medicines.
“DOJ is letting Mylan get TRENTON, N. J. — off on the cheap for ripping EpiPen maker Mylan has off the government, and finalized a $465 million with no admission of government agreement setwrongdoing,” Robert tling allegations it overWeissman, president of the billed Medicaid for its emerconsumer watchdog group gency allergy injectors for a Public Citizen, said Thursday.decade—chargesbrought after rival Sanofi filed a Weissman and Senate Juwhistleblower lawsuit and diciary Committee Chairtipped off the government. man Chuck Grassley, R
It’s the second settlement Iowa, both noted that the with the Department of Health and Human ServJustice that Mylan has ices Department’s Office of made since 2009 for alleg- Inspector General’s investi- gated and concluded that Medicaid programs paid Mylan $1.27 billion more than they should have between 2006 and 2016.
Mylan NV, based in England but with operational headquarters near Pittsburgh, became a poster child for pharmaceutical industry greed after hiking the price of EpiPens repeatedly. It raised the price per pair from $94 in 2007 to $608 last year. Experts estimate it costs less than $10 to produce one EpiPen.
Last September, a House panel grilled Mylan CEO Heather Bresch about the skyrocketing cost of the devices, which patients inject in the thigh to stop a runaway allergic reaction to foods such as nuts and eggs or insect bites and stings.
OnThursday, the Department of Justice disclosed that its EpiPen case began when Sanofi-Aventis US LLC filed a lawsuit against Mylan under the False Claims Act.
The law allows individuals and companies to sue on behalf of the government A settlement follows $1.27 billion in Medicaid overcharges. over improper charges to government programs and to receive a share of any money recovered. Sanofi is to receive $38.7 million. The federal government and all 50 states will split the bulk of the settlement.