Valeant Pharmaceuticals International has received two subpoenas from federal prosecutors in the US seeking information relating to its drug pricing, distribution and patient support practices.
Issued by the US attorney’s offices in the Southern District of New York and Massachusetts, the subpoenas also seek information and documents from Valeant regarding information it provided to the Centers for Medicare and Medicaid Services.
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The company has been under scrutiny for steeply raising its drug prices.
Senator Claire McCaskill (D-MO) sent a letter seeking information relating to the company’s products Nitropress and Isuprel.
In response to the senator’s letter, the company provided the history of the two drugs, the reimbursement process for hospital procedures involving them, analysis and reasons underlying the company’s pricing decisions, and its programmes designed to improve patient access.
Valeant acquired these two drugs used in cardiac care in February and immediately increased their prices by 525% and 212% respectively.
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By GlobalDataThe drugs are Nitropress and Isuprel and used in used for cardiac care.
With the increase in drug price, Valeant attracted criticism from doctors, hospitals and some members of Congress.
The company also said that it is beginning to contact hospitals affected by the price increases.
Valeant chairman of the board and chief executive officer Michael Pearson said: "All of us at Valeant firmly believe in maintaining strong regulatory and financial controls and believe we have operated our business in a fully compliant manner.
"We remain committed to assisting eligible patients who need our products, and we will be working with the appropriate groups to submit the requested documents and plan to cooperate with the inquiries."
Valeant develops, manufactures and markets a range of pharmaceutical products primarily in the areas of dermatology, gastrointestinal disorder, eye health, neurology and branded generics.
