Georgia City Files Suit Over Inflated H.P. Acthar Gel Price

Mallinckrodt is facing another class-action suit over the price of its H.P. Acthar Gel (repository corticotropin), this time from the city of Marietta, Georgia.

The complaint in the U.S. District Court for Northern Georgia alleges that Mallinckrodt purchased Acthar’s only competitor for an “inflated sum” to stifle competition, and then hiked the price of the drug from $40 per vial to $39,000 per vial.

The complaint also accused the drugmaker of bribing doctors to prescribe the drug, a charge that it settled with the Department of Justice. 

Marietta spent over $2 million for Acthar for just one patient covered by the city’s self-funded health plan, the complaint alleges.