Pfizer Inc.'s (PFE) request to dismiss a lawsuit by the U.S. Department of Justice that charges a Pfizer unit with failure to present the private purchase discount of heartburn drug Protonix to the government was rejected today.
The issue was originally take with Wyeth in May 2009 but later in the year Pfizer acquired the company and in turn, took on their legal trouble. The Justice Department and 16 states brought two whistleblower lawsuits against the company for failing to give Medicaid programs the legally required discounted. In their suit, the Justice Department alleges that by covering up select private discounts from the government, Wyeth was able to dodge hundreds of millions of dollars in rebates for Protonix over the course of six years.
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