U.S. sues Mallinckrodt, accuses drugmaker of defrauding Medicaid

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U.S. sues Mallinckrodt, accuses drugmaker of defrauding Medicaid
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The United States sued a unit of the drugmaker Mallinckrodt Plc on Tuesday, accu...

FILE PHOTO: Bottles of prescription painkillers Hydrocodine Bitartrate and Acetaminopohen, 5mg/325mg pills, made by Mallinckrodt sit on a shelf at a local pharmacy, in Provo, Utah, U.S., April 25, 2017. REUTERS/George Frey

The government joined a civil lawsuit by a whistleblower who said Mallinckrodt ARD LLC’s conduct concerning Acthar, which is used to treat a rare infant seizure disorder as well as multiple sclerosis, violated the federal False Claims Act.The government said that under the Medicaid Drug Rebate Program, drugmakers must pay quarterly rebates to state Medicaid programs in exchange for Medicaid’s coverage of their drugs.

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