Sen. Charles E. Schumer (D-N.Y.) has announced he will propose a bill that would allow the U.S. Department of Justice to punish "unscrupulous drug distributors" who sell drugs in severe shortages at vastly inflated prices, according to an Associated Press report.
The problem has been increasing this year as drug shortages continue. Normally cheap generic injected medicines have become extremely expensive as drug companies mark up prices to reap a profit from desperate hospitals and healthcare facilities.
The Associated Press reported in mid-Sept. 2011 that at least 15 patient deaths have resulted from the shortages. Sen. Schumer's bill would make price gouging on prescription drugs already in short supply a federal crime.
Sen. Schumer's bill will be introduced next week, according to the report. Companies that price gouge scarce drugs would receive penalties of up to $500 million per case of price gouging.
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The problem has been increasing this year as drug shortages continue. Normally cheap generic injected medicines have become extremely expensive as drug companies mark up prices to reap a profit from desperate hospitals and healthcare facilities.
The Associated Press reported in mid-Sept. 2011 that at least 15 patient deaths have resulted from the shortages. Sen. Schumer's bill would make price gouging on prescription drugs already in short supply a federal crime.
Sen. Schumer's bill will be introduced next week, according to the report. Companies that price gouge scarce drugs would receive penalties of up to $500 million per case of price gouging.
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