A sign marks Allergan's offices in Medford, Massachusetts, U.S., July 31, 2017. REUTERS/Brian Snyder
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(Reuters) - At the urging of the Biden administration and the nonprofit Taxpayers Against Fraud, the full 4th U.S. Circuit Court of Appeals agreed to rehear a case alleging that a company now owned by Allergan defrauded the federal government out of $680 million by deliberately reporting inaccurate drug-pricing data to Medicaid.
The 4th Circuit’s order on Tuesday did not give any reasons for granting the petition for en banc review filed by Deborah Sheldon, who is seeking to revive a lawsuit that her now-deceased husband filed under the False Claims Act in 2014.
Troy Sheldon, a former sales manager for Forest Laboratories, alleged that Forest intentionally excluded various discounts to customers when it reported the “best price” for its drugs to Medicaid between 2005 and 2014. That reduced the amount that Forest was obliged to rebate to participating states for the drugs, leaving the federal government to make...
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