CMS: Mylan Overcharged Medicaid By Millions Despite Warnings From Feds

Mylan In ‘Hot Seat’ As U.S. Says It Overcharged For EpiPen

Mylan NV’s escalating dispute with the federal government over how much it owes in discounts for its EpiPen allergy injector shines a light on complex Medicaid pricing rules, with potentially costly consequences for the drugmaker. In a letter to a U.S. senator Wednesday, the Centers for Medicare and Medicaid Services, or CMS, said Mylan for years overcharged the health program for the allergy shot. EpiPen has been wrongly classified as a generic treatment since 1997, allowing Mylan to pay much lower discounts than brand-name drugs, CMS said. Mylan, which bought the product about a decade later, denies it acted improperly. (Langreth, 10/5)