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Prescription Drug Manufacturers Underpaid Medicaid Rebates, Federal and State Whistleblower Complaint Alleges
Date:10/4/2011

ncreases in their AMP calculations.  Under both scenarios, the Complaint alleges, by understating their reported AMPs, the defendants fraudulently underpaid rebates they owed to the States' Medicaid programs.  

The Complaint names as defendants various large drug manufacturers whose brand-name prescription drug sales represent a substantial segment of brand-name prescriptions dispensed in the U.S. through Medicaid programs.  The defendants include: Allergan, Inc., Amgen, Inc., AstraZeneca Pharmaceuticals LP, Biogen Idec, Inc., Bradley Pharmaceuticals, Inc. n/k/a Nycomed US, Inc., Cephalon, Inc., Eisai, Inc., Genzyme Corporation, Mallinckrodt, Inc., Novo Nordisk, Inc., Reliant Pharmaceuticals, Inc., Sepracor, n/k/a Sunovion Pharmaceuticals, Inc. and Upsher-Smith Laboratories, Inc.

The Relator is Ronald J. Streck, an attorney and pharmacist from Virginia who, for more than a decade, headed the National Healthcare Distribution Management Association.  The law firms of Berger & Montague, P.C., and Faruqi & Faruqi, LLP represent the Relator.  While the federal government and the states have declined to intervene in this action, the whistleblower's legal team will prosecute the case against the defendants.

Berger & Montague, P.C. is a nationally known Philadelphia law firm that has successfully represented whistleblowers for more than a decade, and Faruqi & Faruqi, LLP, of New York City and Jenkintown, Pennsylvania, a national law firm, concentrates its practice on complex civil and class action litigation.

The Berger & Montague team includes Daniel R. Miller, a former Delaware deputy attorney general and former past-president of the National Association of Medicaid Fraud Control Units.  Mr. Miller has tried more than 125 cases to jury verdict.

Miller stated that "the government relies on manufacturers accurately to self-report pricing data on the drugs they sell through the States' Medic
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SOURCE Berger & Montague, P.C.
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