Tuesday, June 1, 2010

New Jersey receives settlement from Aventis

In May, the state of New Jersey received a $1.3 million settlement from the Pharma company Aventis. Aventis failed to provide the state their best price for the medications Azmacort and Nascort. This information resulted in losses from the programs Pharmaceutical Assistance to the Aged and Disabled (PAAD) and Senior Gold (SG) Pharmaceutical Assistance.

According to the article,

Under the Medicaid Drug Rebate statute, Aventis was required to report to Medicaid the lowest, or "best price" that it charged commercial customers and pay quarterly rebates to the Medicaid program based on those reported "best prices." State regulations require that pharmaceutical manufacturers enter into the same rebate agreement with the state in order to participate in the PAAD and Senior Gold programs. The PAAD and Senior Gold programs are funded entirely through state funds, while Medicaid is jointly funded by the state and federal government.

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