Information about the Generic-Drug Probe
social sciences
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- provide one page memorandum de
tailed explanation and justifi cation of your answers or deci sions that you are asked to make. This is not a research paper, be as specific and as brief as possible. Keep the discussions to the point so that the memorandum is convinc ing and clear as to why you provide these specific answer or make these specific decisio ns. Also, no quoting, make sure that you use your own words. Make sure that you prov ide appropriate references when writing the paper( appropriately quoting).
- the article is attached,
Article attachment
below is the article , please note provide one page memorandum detailed explanation and justification of your answers or decisions that you are asked to make. This is not a research paper, be as specific and as brief as possible. Keep the discussions to the point so that the memorandum is convincing and clear as to why you provide these specific answer or make these specific decisions. Also, no quoting, make sure that you use your own words. Make sure that you provide appropriate references when writing the paper(appropriately quoting).
U.S. Charges in Generic-Drug Probe Said to Be Filed in 2016 (4)
2016-11-04 00:19:35.438 GMT
By David McLaughlin and Caroline Chen
(Bloomberg) -- U.S. prosecutors are bearing down on generic
pharmaceutical companies in a sweeping criminal investigation
into suspected price collusion, a fresh challenge for an
industry that’s already reeling from public outrage over the
spiraling costs of some medicines.
The antitrust investigation by the Justice Department,
begun about two years ago, now spans more than a dozen companies
and about two dozen drugs, according to people familiar with the
matter. The grand jury probe is examining whether some
executives agreed with one another to raise prices, and the
first charges could emerge by the end of the year, they said.
Though individual companies have made various disclosures
about the inquiry, they have identified only a handful of drugs
under scrutiny, including a heart treatment and an antibiotic.
Among the drugmakers to have received subpoenas are industry
giants Mylan NV and Teva Pharmaceutical Industries Ltd. Other
companies include Actavis, which Teva bought from Allergan Plc
in August, Lannett Co., Impax Laboratories Inc., Covis Pharma
Holdings Sarl, Sun Pharmaceutical Industries Ltd., Mayne Pharma
Group Ltd., Endo International Plc’s subsidiary Par
Pharmaceutical Holdings and Taro Pharmaceutical Industries Ltd.
All of the companies have said they are cooperating except
Covis, which said last year it was unable to assess the outcome
of the investigation.
“Teva is not aware of any facts that would give rise to an
exposure to the company with respect to these subpoenas,” Teva
spokeswoman Denise Bradley said in an e-mail. “To date, we know
of no evidence that Mylan participated in price fixing,” Mylan
spokeswoman Nina Devlin said in an e-mail. Mayne continues to
cooperate with the Justice Department and believes the
investigations will not have a material impact on its future
earnings, the company said in a statement on Thursday.
Allergan, Impax and Sun declined to comment beyond their
filings. Representatives of Endo, Covis, Taro and Lannett didn’t
respond to requests for comment. A Justice Department spokesman
declined to comment.
Shares of all companies named in the investigation fell on
the news. Lannett dropped 27 percent to close at $17.25 in New
York trading. Impax fell 20 percent to $16.50. Endo declined 19
percent to $14.63, while Teva slipped 9.5 percent to $39.20,
Allergan fell 4.6 percent to $188.82 and Mylan fell 6.9 percent
to $34.14. Shares of Concordia International Corp., which bought
most of Covis’s assets, fell 5.6 percent to 4.37 Canadian
dollars. Taro shares fell 7.3 percent to $93.68. Sun shares do
not trade on U.S. exchanges. Mayne’s shares fell 12 percent at
A$1.50 at 11 a.m. Sydney time.
