For Immediate Release
Media Contact: Bob Cooper
Date: February 7, 2008
Idaho Recovers $663,000 in Medicaid Payments to Drug Company
(Boise) – Idaho has recovered $663,334 as a result of two civil settlements with Merck & Co., Inc., involving alleged violations of the Medicaid Rebate Statute, Attorney General Lawrence Wasden said today.
Wasden’s Medicaid Fraud Control Unit and the Idaho Department of Health and Welfare Medicaid Division joined in the multi-state settlements negotiated by the National Association of Medicaid Fraud Control Units and the U.S. Department of Justice.
The settlements resolve the State of Idaho’s claims under the Medicaid Rebate Statute concerning the drugs Vioxx, Zocor, Mevacor and Pepcid.
“State and federal claims allege that for several years, Merck discounted these drugs to hospitals in order to get hospitals to buy Merck’s products over competing drugs. However, Merck did not report the discounts to Medicaid,” Attorney General Lawrence Wasden said. “As a result, state and federal governments paid more for these drugs used for Medicaid patients than they should have paid.”
The money from the settlements will be deposited into the state’s General Fund for appropriation by the Legislature.
To report Medicaid provider fraud, contact the Idaho Medicaid Fraud Control Unit at (208) 334–4100 or firstname.lastname@example.org.
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