Ore. Says McKesson Artificially Inflated Drug Prices

Law360, New York (November 9, 2011, 4:56 PM EST) -- The state of Oregon on Monday sued McKesson Corp. in California federal court, claiming the drug distributor conspired to artificially inflate average wholesale drug prices, costing taxpayers millions in higher Medicaid reimbursements.

Oregon claims McKesson, the nation's largest pharmaceutical wholesaler, unlawfully inflated the published average wholesale prices for hundreds of brand name drugs — including Advair, Allegra, Celebrex, Flonase, Lipitor and Zyprexa.

The state says the price inflation scheme devised by McKesson and drug price publisher First DataBank Inc. caused pharmacies and other providers to submit...
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