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US: Senate, DOJ plan major generic drug market crackdown

 |  November 17, 2014

US policymakers are set to take actions in light of recent generic drug price hikes, reports say.

Drug makers will be required to meet at a Senate hearing this week regarding the recent price increases and allegations of price-fixing. But the Department of Justice is gearing up for possible criminal fines in the case after the regulator subpoenaed two generic drug companies, Lannett and Impax Laboratories.

The companies confirmed that their employees were ordered to disclose information to the DOJ regarding possible pricing collusion with rivals.

Because the Federal Trade Commission has handled pharmaceutical collusion cases in recent years, experts say the fact that the DOJ – which handles all criminal antitrust cases – is investigating pricing practices “likely indicates that the agency anticipates uncovering criminal antitrust conduct in the form of price-fixing or customer allocation,” reports said.

If found guilty of pricing collusion or other antitrust violations, individuals face fines and possible prison time.

Full content: Fierce Pharma

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