Boston Attorney General Martha Coakley’s Office reached a $3.6 million settlement with Actavis Elizabeth LLC, a New Jersey-based pharmaceutical manufacturer, to resolve a Massachusetts False Claims Act case. 

While Actavis has not admitted any wrongdoing, the lawsuit alleged that Actavis reported inflated prices to drug industry reporting services.  This allegedly resulted in the Massachusetts Medicaid Program, MassHealth, paying inflated prices for ingredients for Medicaid recipient prescriptions.  All money recovered will be returned to MassHealth. 

Actavis is one of 13 generic drug manufacturers that the Commonwealth sued for allegedly inflating prices via national pharmaceutical reporting services.  The Commonwealth has settled with nine other defendants in this case, recovering $16.7 million for the Massachusetts Medicaid program.  Three other defendants have cases pending in Boston’s federal court.