A government watchdog agency is conducting three new reviews of the Medicaid Drug Rebate Program to determine the extent to which drug companies are properly paying required givebacks to the health care program.
The move comes in the wake of an enormous controversy over EpiPens, the emergency allergy device sold by Mylan Pharmaceuticals. Under the Medicaid Drug Rebate Program, companies must accurately report — and pay — a rebate on drugs paid for by the agency. Mylan recently reached a $465 million settlement with the Justice Department for shortchanging Medicaid by not paying appropriate rebates, although the feds never confirmed the deal.
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