Connecticut leads 20-state lawsuit over drug pricing

AP News
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Posted: Dec 15, 2016 2:06 PM

HARTFORD, Conn. (AP) — Connecticut is leading a 20-state lawsuit against six generic drug-makers, alleging they artificially inflated and manipulated prices to reduce competition for an antibiotic and oral diabetes medication.

The lawsuit was filed Thursday in U.S. District Court in Connecticut. Portions of the complaint are redacted because there are ongoing investigations into the matter.

Connecticut Attorney General George Jepsen says his office began its probe more than two years ago and "developed compelling evidence of collusion and anticompetitive conduct" among many companies that manufacture and market generic drugs.

Jepsen refers to Eatontown, New Jersey-based Heritage Pharmaceuticals as the "principal architect" of the alleged conspiracies.

Federal authorities on Wednesday charged two former Heritage executives with fixing prices. Heritage says it terminated those executives in August and is fully cooperating with the Department of Justice.