Texas Jury Orders Actavis to Pay $170 Million for Overpriced Drugs

Generic-drug maker Actavis has been ordered to pay $170 million to Texas for inflating the prices of drugs sold to the state’s Medicaid program. A jury in the Travis County District Court found that the company had knowingly reported false prices to Texas over a period of 15 years from 1995 to 2010. The case was the first of a series of similar cases pursued by the Texas Attorney General’s office over the last 10 years to go to trial and the fine imposed on Actavis was more than double what any of the previous defendants had agreed to pay in pre-trial settlements. Including Actavis’ penalty, the state’s total recoveries from more than a dozen drugmakers has now reached more than $420 million.
Drug Industry Daily