10/22/2015 // JusticeNewsFlash // (press release)
New Jersey – Federal prosecutors have reportedly issued a subpoena to Valeant Pharmaceuticals for documents related to the drugmaker’s policies for pricing and other matters. The Spokesman Review reported that the action comes amid heavy criticism of the high prices for a range of new prescription drugs for various illnesses outlined by drug companies.
Some of the drugs in question reportedly carry list prices that range in amounts of up to $100,000 per year. Drugmakers like Valeant have been accused of increasing the prices of old medications several times over their previous costs.
The criticism rose in September following reports that former hedge fund manager Martin Shkreli’s Turing Pharmaceuticals hiked the price of Daraprim to $750 after the treatment for parasitic infections had previously been sold for $13.50. Shkreli’s claimed the increase was needed for future research funding.
Analyst Steve Brozak, president of WBB Securities, is quoted as stating of predictions on what’s to come for drugmakers “This is not going to be the last time you see subpoenas for documents.”
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Source: The Spokesman Review News Story http://www.spokesman.com/stories/2015/oct/15/valeant-subpoenaed-over-patient-assistance-program/