Top news of the day from across the health care landscape.
A recent HHS analysis revealed that Mylan may have overcharged the US government by $1.27 billion. According to The New York Times, the figure is nearly 3 times the proposed settlement announced by Mylan in October. “Mylan and the Obama Administration reportedly were close to settling the overpayment for much less than $1.27 billion,” Sen Chuck Grassley (R-IA) said in a statement reported by the NY Times. “Taxpayers have a right to know what happened here and to be repaid whatever they are owed.” Grassley chairs the Senate Judiciary Committee, which launched a probe of EpiPen pricing last year, according to the NY Times. A spokesperson for Mylan said the company is continuing to work with the government to finalize the settlement.
Ohio has filed complaints against 5 drug manufacturers, alleging they fueled the opioid epidemic by mitigating the addictive risk of their painkillers, reported The Wall Street Journal. The complaint, filed on Wednesday in state court, is one of the highest profile cases to date against drug makers regarding prescription painkillers. It targets both parent companies and various subsidiaries, which includes Johnson & Johnson, Endo Health Solutions, Purdue Pharma, Teva Pharmaceutical, and Allergan­­—–formerly known as Actavis.
Electronic health records vendor eClinicalWorks and 3 executives will pay a $155 million settlement to resolve allegations that it caused health care providers to submit false claims to the federal government. According to The New York Times, the suit alleged that eClinicalWorks misrepresented the abilities of its software and paid kickbacks to some customers in exchange for promoting its products. Acting US attorney for Vermont, Eugenia Cowles, said most of the money will go into federal Medicare and Medicaid funds in Washington. “Every day, millions of Americans rely on the accuracy of their electronic health records to record and transmit their vital health information,” Acting Assistant Attorney General Chad Readler, said in a statement reported by the NY Times. “This resolution is a testament to our deep commitment to public health and our determination to hold accountable those who conduct results in improper payments by the federal government.” This is the largest False Claims Act recovery in the district of Vermont, reported the NY Times.