Jefferson City, MO (KSDK) - The state's Medicaid program will receive more than $289,000 to settle allegations that a St. Louis-based pharmaceutical company lied to customers by saying two drugs were approved for coverage under state and federal health care programs.
Under the agreement, KV Pharmaceutical Company, parent company of now-defunct Ethex Corporation, will pay approximately $17 million to the federal government and participating states to compensate for Ethex's conduct.
According to the suit, Ethex misrepresented the regulatory status of Nitroglycerin Extended Release Capsules (Nitroglycerin ER) and Hyoscyamine Sulfate Extended Release Capsules (Hyoscyamine ER).
Despite not being covered by federal and state health care programs, the two drugs do not pose a risk to patients. At present, neither drug is on the market.
Koster said citizens should report suspected Medicaid provider fraud or abuse and neglect to his Medicaid Fraud Hotline toll free at 800-286-3932, e-mail the complaint to firstname.lastname@example.org or complete a complaint form at the Attorney General's Medicaid Fraud Website.
Tuesday, February 28, 2012
KV Pharmaceutical settles lawsuit with Missouri Attorney General Chris Koster | ksdk.com