A lawsuit filed by 44 states including Connecticut, Nevada and Vermont, accused large generic drug companies of conspiring to inflate prices.
What We Know:
- Colorado Attorney General Phil Weiser joined the multi-state lawsuit and tweeted about the increase of drug prices.
- Pfizer, Teva, Novartis, and Mylan were named among the 20 large drug manufacturers. Additionally, more than a dozen senior executives were accused of deleting evidence after the states started the investigation back in 2014, according to Common Dreams. The suit says that these companies plotted to increase prices affecting Medicare and Medicaid, individuals and the health insurance market.
- The drugs named in the lawsuit include treatments for cancer, HIV, asthma, and depression, according to a statement released by the office of Connecticut Attorney General William Tong.
- The alleged scheme was at a high during July 2013 and January 2015 where the companies would systematically communicate with each other to split up customers and set and maintain high prices. Most of the dealings allegedly happened at upscale events and other social outings.
- American prices on top-selling drugs are three times higher than in Britain, according to an analysis from Reuters. Perhaps this is a result of the United States leaving the pricing up to market competition instead of attempting to control costs of the medicine.
The states involved with the lawsuit are seeking civil penalties, damages, and action from courts to help examine the generic drug market.
If you are angry about rising drug prices, you should be. Particularly because a major cause of price increases is illegal collusion by generic drug companies. The @COAttnyGeneral is joining with other AGs to hold these companies accountable. https://t.co/KWWY5kuQvQ
— Phil Weiser (@pweiser) May 11, 2019