Drug companies pay out millions after overcharging MedicaidBMJ 2003; 326 doi: https://doi.org/10.1136/bmj.326.7395.900/e (Published 26 April 2003) Cite this as: BMJ 2003;326:900
- Owen Dyer
The German pharmaceutical giant Bayer is to plead guilty to criminal charges and pay $257m (£165m; €236m) in fines and civil damages for overcharging Medicaid, the US state and federally funded health insurance plan for patients with low income aged under 65 years. US prosecutors have called the case the biggest Medicaid fraud recovery in the country's history.
The British drug company GlaxoSmithKline will pay out $87.6m to settle a similar case.
Both companies were accused of breaching rules which demand that companies participating in Medicaid offer the programme the lowest available prices for their drugs. Instead, …