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Van Hollen announces $4.2M BadgerCare settlement

MADISON, Wis. (AP) — The state of Wisconsin says it has reached a $4.2 million settlement with three drug makers which the state alleged had defrauded the Medicaid and BadgerCare Plus programs.

The Milwaukee Journal Sentinel reports Attorney General J.B. Van Hollen on Monday announced the deal with Merck & Co., Schering Corp. and Warrick Pharmaceuticals Corp.

Under the terms of the settlement, the companies agreed to pay $3.7 million in restitution and $550,000 in costs and fees.

The lawsuit accused 36 pharmaceutical companies of reporting fictitious prices to manipulate the complex formula used to determine what Medicaid should pay for prescription drugs.

About 10 other companies have either settled with the state or were ordered to pay damages.

Information from: Milwaukee Journal Sentinel,

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