Kentucky Attorney General Jack Conway on Wednesday said he recovered $7 million on behalf of the Kentucky Medicaid program following a settlement with the Johnson & Johnson family of companies.
This is the latest in a number of settlements in so-called average wholesale price, or AWP, lawsuits filed by the attorney general's office against 47 of the nation's largest pharmaceutical companies.
The lawsuits allege that Johnson & Johnson, which encompasses several pharmaceutical companies, published false, inflated and deceptive AWPs for their drugs, which did not bear any relationship to the real prices that they actually charged customers, a statement from the attorney general's office said. The Kentucky Medicaid program relied on these published AWPs to calculate Medicaid drug reimbursement rates.
Johnson & Johnson brand drugs implicated in the lawsuits included Risperdal (schizophrenia), Propulsid (heartburn), Flexeril (muscle strain), Procrit (anemia), Ditropan (overactive bladder), Haldol (psychotic disorders), Topamax (epilepsy) and numerous other drug products.