McKesson Investor Targets Execs Over Drug Price-Rigging

Law360, New York (September 13, 2012, 8:02 PM EDT) -- A shareholder of drug distributor McKesson Corp. hit the company's top brass with a derivative complaint Monday accusing executives of feathering their nests with company cash while overseeing average wholesale price manipulation that ripped off Medicaid and has resulted in penalties exceeding $770 million.

Investor Daniel Himmel points to numerous legal settlements involving allegations that McKesson schemed to rig prices and was responsible for excessive reimbursements to pharmacies that gave the company more business because of its practices.

As the alleged misconduct played out from 2001...
To view the full article, register now.