The companies have been sued by 44 US states for scheming to inflate drug prices in the country
Seven Indian companies have been dragged in a lawsuit filed by over 40 US states for allegedly conspiring to raise the prices of drugs in the US. The Indian drug firms involved- Aurobindo Pharma, Lupin, Wockhardt, Zydus Pharma, Dr Reddy’s Laboratories, Sun Pharma, and Glenmark Pharma- have been listed in the lawsuit along with 20 other companies, with Israel based Teva Pharmaceuticals being accused of chief orchestrating up to 1 1000% hike in drug prices in the country.
“We have hard evidence that shows the generic-drug industry perpetrated a multi-billion dollar fraud on the American people. We all wonder why our health care, and specifically the prices for generic prescription drugs, are so expensive in this country — this is a big reason why,” said Connecticut Attorney General William Tong, the man spearheading the lawsuit against the drug firms.
Apart from the seven Indian pharma companies, and Teva Pharmaceuticals, some other companies which have been accused are Sandoz, Mylan, Pfizer, among others.
“We have received a copy of the lawsuit filed against the generic drug manufacturers and are reviewing the details of the same,” Lupin said in a regulatory filing. The company has been a key pharmaceutical player in the US and has demonstrated full commitment to compliance with all laws and ethical business practices, it added.
Another firm accused in the lawsuit, Cadila Healthcare by Zydus, stated in a press release, “Zydus conducts its business with the highest degree of integrity and honesty.” It also added that in its opinion this particular matter is not likely to have any material impact on the operations and financials of the company.
(With inputs from PTI)