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The Pulse of the Pharmaceutical Industry

Senators ask Justice Dept to consider probe of EpiPen Medicaid classification

Written by: | | Dated: Wednesday, September 28th, 2016


U.S. Senators Richard Blumenthal, Charles Grassley and Amy Klobuchar asked the Justice Department to investigate whether Mylan NV may have misclassified its EpiPen in order to pay lower rebates to the states.

In a letter released on Wednesday, the lawmakers noted that Mylan classified the EpiPen with the Medicaid Drug Rebate Program as a non-innovator multiple source drug, which pays a rebate of 13 percent to states, rather than innovator, which pays a rebate of a minimum of 23.1 percent.

“The facts … suggest that Mylan may have knowingly misclassified EpiPens, potentially in violation of the False Claims Act and other statutes,” the lawmakers said in a letter to Attorney General Loretta Lynch.

(Reporting by Diane Bartz; Editing by Chizu Nomiyama)


Source: Reuters Health

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