GSK to Pay 340B Providers $20.2 Million to Resolve Best Price Charges

by Admin | July 2, 2012 3:34 pm

July 2, 2012—Drug manufacturer GlaxoSmithKline (GSK) has agreed to repay 340B covered entities a record-setting $20.2 million for overcharges covering the period 1994 through 2003 as part of a $3 billion global health care fraud settlement[1] with the U.S. Justice Department (DOJ).

According to the July 2 settlement agreement, DOJ contends that the company used bundled sales contracts with hospitals, group purchasing organizations, and other customers to falsely claim that certain of its products were sold at “nominal cost,” defined as any price less than 10 percent of average manufacturer price (AMP) for purposes of calculating a drug’s Medicaid rebate percentage. 

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Source URL: https://340binformed.org/2012/07/gsk-to-pay-340b-providers-20-2-million-to-resolve-best-price-charges/

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