State of Florida v. Dey
The State of Florida recently settled a whistleblower case against three pharmaceutical manufacturers and their corporate affiliates.
The case, which was originally filed by a whistleblower represented by Berger Montague’s Whistleblower/Qui Tam Group, involved allegations that Roxane Laboratories, Dey and Warrick Pharmaceuticals violated the Florida False Claims Act by reporting inflated prices for their drugs dispensed by pharmacies and other providers which were then reimbursed by the Florida Medicaid program (which provides prescription drug coverage for the poor and disabled). The Medicaid program sets the reimbursement rates it pays to Medicaid providers based on the prices reported by the drug manufacturers.
In this case, Defendants knowingly reported inflated drug prices and caused the Florida Medicaid Program to overpay millions of dollars in pharmacy reimbursements. The settlements with Roxane and Dey amounted to $8.5 and $6.5 million, respectively.