Drug Maker Sandoz Settles Drug Pricing Allegations, Agrees to Pay $1.65M to Idaho

Sandoz, the generics pharmaceutical division of pharmaceutical company Novartis, has agreed to pay the state of Idaho $1.65 million in a drug pricing lawsuit, according to a Bloomberg Businessweek news report.

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Idaho’s Medicaid program relies on average wholesale prices reported by drug manufacturers to set reimbursement rates for pharmacies. Sandoz allegedly reported inflated prices of its generic version of Prozac for an average wholesale price of approximately $2.60 per tablet. Idaho Attorney General Lawrence Wasden found the price of each tablet was actually less than 22 cents, according to the report.

In settling the drug pricing lawsuit, Sandoz said it is not guilty of any wrongdoing, according to the report.

Read the Bloomberg Businessweek news report about Sandoz’ settlement.

Read other coverage about pharmaceutical company fraud:

AARP to Join False Claims Lawsuit Against Pharmaceutical Companies

CEOs of Drug Companies Guilty of Off-Label Promotion May Face Misdemeanor Prosecutions, Warns FDA

Merck Seeks Appeal on $4.6M Verdict in Fraud Case

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