CHARLESTON W.Va. (WVDN) — On Friday, West Virginia Attorney General JB McCuskey announced his office has distributed nearly $3.5 million to cities and counties as part of a settlement agreement involving the cholesterol drug Lipitor.
The settlement is from an antitrust lawsuit against Pfizer Inc. (and related companies) and Ranbaxy Inc. (and related companies). The lawsuit alleged the two companies conspired to delay the introduction onto the market of a cheaper generic version of Lipitor for 20 months. Lipitor’s original patent expired on March 24, 2010.
“This settlement is about holding pharmaceutical companies accountable for putting their bottom line before people,” Attorney General McCuskey said. “No drug company should withhold a less expensive medication to treat chronic conditions just to make their stakeholders richer. That is completely unacceptable, and this settlement is one step in the right direction.”
The amount each city and county will receive depends on the size of their population. The counties are receiving a total of $1,630,000; cities are receiving a total of $1,855,000.
Putnam County Commissioner Andy Skidmore and St. Albans Mayor Scott James met with Attorney General McCuskey to pick up their portion of the funds on Friday. Putnam County received $50,000, while St. Albans received $25,000. Other cities and counties should be receiving checks in the mail this week.
Click here to read a list of the distribution for counties and here for a list of the distribution for cities and towns.
Counties and municipalities are receiving settlement funds specifically to reimburse healthcare costs incurred from purchasing name-brand Lipitor. The Bureau for Medical Services and West Virginia Public Insurance Agency (PEIA) received $3,083,250 for Medicaid and PEIA overpayments.
Additionally, individual consumers on Lipitor from March 24, 2010, to November 20, 2011, who paid higher prices due to the delayed introduction of the generic version are also eligible to submit a claim. A total of $3,819,250 has been set aside for those claims. The West Virginia Attorney General’s Office is currently establishing a dedicated claims process for these consumers to recover their overpayments. Details regarding the consumer reimbursement process will be announced by the Attorney General’s Office soon.
To view video of the check presentation, click here.
