Roxane Settles Price Inflation Suit For $1.8M

By Brendan Pierson

Law360, New York (September 22, 2008, 12:00 AM ET) -- Generic-drug maker Boehringer Ingelheim Roxane Inc. has agreed to pay Massachusetts' state Medicaid program $1.8 million to settle a lawsuit alleging that it defrauded the program by overstating the cost of drugs.

Roxane is one of 13 generics makers that were sued by the Commonwealth of Massachusetts in 2003 under the False Claims Act for allegedly reporting inflated drug prices to national price-reporting services. State Medicaid programs use prices reported by pharmaceutical companies to determine how much they will pay for drugs given to Medicaid recipients....
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