BOSTON — Attorney General Maura Healey announced today that her office has joined with 49 other states, the District of Columbia, Puerto Rico, and the federal government in a $233 million national settlement with Mallinckrodt ARD, LLC, a leading generic opioid manufacturer, of allegations that it defrauded the Medicaid Drug Rebate Program.
Mallinckrodt ARD, LLC – formerly known as Questcor Pharmaceuticals, Inc. – is a U.S. subsidiary of the Irish pharmaceutical company Mallinckrodt plc, which sold and marketed pharmaceutical products throughout the nation. The settlement resolves allegations that from January 1, 2013, through June 30, 2020, Mallinckrodt knowingly underpaid Medicaid rebates due for its drug H.P. Acthar Gel (Acthar), in violation of the Federal False Claims Act and the Massachusetts False Claims Act. Massachusetts will receive nearly $2.7 million from this settlement as a result of Mallinckrodt’s submission of allegedly false claims to the state’s Medicaid program (MassHealth).
“Millions of Massachusetts residents rely on MassHealth to get critically important medical care, especially when managing serious conditions like multiple sclerosis, rheumatoid arthritis and lupus, all of which can be treated by the prescription drug Acthar,” said AG Healey. “This settlement recovered millions of dollars owed to our state by Mallinckrodt and sends a clear message that no company can get away with shortchanging MassHealth, a vital program for the most vulnerable in...
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