US Govt Cracks whip on 18 Pharma companies,Indian companies in Trouble

Washington Nov 3: The US Government has started cracking the whip on Pharma companies for allegedly increasing the drug prices several times and other charges such as reducing competetion in the market and criminal conspiracy.

Recently Attorneys general of 45 states and the District of Columbia have approached the top court with a lawsuit accusing 18 companies subsidiaries and named 15 medicines.

Hartford, Connecticut Attorney General George Jepsen, who is leading the case, said: "The investigation is continuing, and that claims would likely be brought against more companies, and possibly executives, in the future. It is our belief that price-fixing is systematic, it is pervasive, and that a culture of collusion exists in the industry."

Earlier a compliant was filed in December 2016 against 6 companies which included Mylan, Heritage, Aurobindo Pharma USA Inc, Citron Pharma LLC, Mayne Pharma USA Inc and Teva Pharmaceuticals USA Inc.

Currently, there are several Indian companies such as
Sun Pharma, Glenmark Pharmaceuticals, Reddy's Laboratories (DRL) have been acussed in these cases.

Indian Companies have not responded to the reports about their names being accused of drug overpricing and they are facing a tough situation.