A Dane County, Wis., jury on Monday ruled that Pharmacia, which Pfizer acquired in 2003, inflated the prices of medications sold to the state Medicaid program, the Milwaukee Journal Sentinel reports. The jury ordered Pfizer to pay the state $9 million, which includes $7 million for monetary losses and $2 million for violations of consumer protection laws. The federal government will receive about 58% of the $7 million and might seek a portion of the $2 million. In addition, the jury ruled that Pharmacia violated state Medicaid fraud law 1.4 million times; each violation of the law can result in a fine of between $100 and $15,000. Pfizer spokesperson Chris Loder said that the company plans to appeal the verdict (Marley/Boulton, Milwaukee Journal Sentinel, 2/17).

Reprinted with kind permission from kaisernetwork. You can view the entire Kaiser Daily Health Policy Report, search the archives, or sign up for email delivery at kaisernetwork/dailyreports/healthpolicy. The Kaiser Daily Health Policy Report is published for kaisernetwork, a free service of The Henry J. Kaiser Family Foundation.

© 2009 Advisory Board Company and Kaiser Family Foundation. All rights reserved.

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