Louisiana AG joins lawsuit against major generic drug companies for price fixing

Louisiana AG joins lawsuit against major generic drug companies for price fixing
(Source: WAFB)

BATON ROUGE, La. (WAFB) - Louisiana Attorney General Jeff Landry has joined 43 other attorneys general, including Connecticut Attorney General William Tong, in a lawsuit against 20 of the country’s biggest generic drug manufacturers that claims there’s a “broad conspiracy to inflate and manipulate prices, reduce competition, and unreasonably restrain trade” for more than 100 different generic medications.

The lawsuit, which was filed in U.S. District Court for the District of Connecticut, names 15 senior executive defendants responsible for the sale, marketing, pricing, and operations of these drug companies, which include Teva Pharmaceuticals. The drugs named in the lawsuit account for billions of dollars of sales throughout the country, with the scheme allegedly affecting the health insurance market, taxpayer-funded healthcare program like Medicaid and Medicare, and individuals who have to pay artificially inflated prices for their prescription medications.

“Louisiana patients rely on generic drugs every day and they have felt the burn from the alleged conspiracy. I am proud to join General Tong in these efforts to ensure those who have harmed patients are brought to justice,” said Landry.

The lawsuit alleges these drug manufacturers engaged in a “broad, coordinated, and systematic campaign to conspire with each other to fix prices, allocate markets, and rig bids for more than 100 different generic drugs.” The drugs affected include tablets, capsules, creams, gels, ointments, and more for statins, ace inhibitors, beta blockers, anti-depressants, antibiotics, contraceptives, and non-steroidal anti-inflmmatories to treat conditions like diabetes, cancer, epilepsy, multiple sclerosis, HIV, ADHD, and others.

The attorneys general say in some cases, the coordinated price increases were more than 1,000 percent.

In the lawsuit, the attorneys general are seeking damages, civil penalties, and actions by the court to restore competition to the drug market.

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