Miyares: Generic drug makers created ‘ingrained culture of collusion’ to keep prices high
RICHMOND, Va. (WRIC) -- Virginia Attorney General Jason Miyares announced on Thursday that a coalition of all 50 state attorneys general has reached a $49.1 million settlement with two generic drug manufacturers who allegedly conspired to artificially inflate prices. According to Miyares' office, Heritage Pharmaceuticals and Apotex have agreed to internal reforms and to cooperate in ongoing litigation against 30 corporate defendants and 25 individual executives as part of the settlement for allegedly conspiring to manipulate prices, reduce competition and "unreasonably restrain trade with regard to numerous prescription drugs." “The actions of these two generic drug manufacturers harmed consumers and compromised fair competition," said Miyares. "Together, state attorneys general are holding these entities accountable and emphasizing the importance of complying with antitrust laws to promote a competitive marketplace, which benefits all consumers. We will continue to protect competitive markets for Virginians and ensure that all companies operate within the bounds of the law." According to Miyares' office, the complaints "lay out an interconnected web" of pharmaceutical executive meeting "during industry dinners, 'girls nights out,' lunches, cocktail parties, golf outings and communicated via frequent telephone calls, emails and text messages that sowed the seeds for their illegal agreements." The defendants use terms such as "fair share," "playing nice in the sandbox," and "responsible competitor" to discourage competition and perpetuate "an ingrained culture of collusion" to keep drug prices high, according to Miyares' office. The cases stem from an investigation built on evidence including a database of over 20 million documents, millions of phone call records and contact information for over 600 people involved in sales and pricing in the pharmaceuticals industry. Anyone who has purchased a generic prescription drug made by either Heritage Pharmaceuticals or Apotex between 2010 and 2018 may be eligible for compensation, more information can be found here.
VENN
RICHMOND, Va. (WRIC) -- Virginia Attorney General Jason Miyares announced on Thursday that a coalition of all 50 state attorneys general has reached a $49.1 million settlement with two generic drug manufacturers who allegedly conspired to artificially inflate prices.
According to Miyares' office, Heritage Pharmaceuticals and Apotex have agreed to internal reforms and to cooperate in ongoing litigation against 30 corporate defendants and 25 individual executives as part of the settlement for allegedly conspiring to manipulate prices, reduce competition and "unreasonably restrain trade with regard to numerous prescription drugs."
“The actions of these two generic drug manufacturers harmed consumers and compromised fair competition," said Miyares. "Together, state attorneys general are holding these entities accountable and emphasizing the importance of complying with antitrust laws to promote a competitive marketplace, which benefits all consumers. We will continue to protect competitive markets for Virginians and ensure that all companies operate within the bounds of the law."
According to Miyares' office, the complaints "lay out an interconnected web" of pharmaceutical executive meeting "during industry dinners, 'girls nights out,' lunches, cocktail parties, golf outings and communicated via frequent telephone calls, emails and text messages that sowed the seeds for their illegal agreements."
The defendants use terms such as "fair share," "playing nice in the sandbox," and "responsible competitor" to discourage competition and perpetuate "an ingrained culture of collusion" to keep drug prices high, according to Miyares' office.
The cases stem from an investigation built on evidence including a database of over 20 million documents, millions of phone call records and contact information for over 600 people involved in sales and pricing in the pharmaceuticals industry.
Anyone who has purchased a generic prescription drug made by either Heritage Pharmaceuticals or Apotex between 2010 and 2018 may be eligible for compensation, more information can be found here.
