U.S. Senate Panel Launched Bipartisan Probe into Over Pricing of Drugs

by Reshma Anand on  November 5, 2015 at 6:33 PM Corporate News   - G J E 4
The company which over priced its AIDS drug at $750 and another company which announced a competitive drug at $1 are put under a probe by the U.S. Senate Panel.
U.S. Senate Panel Launched Bipartisan Probe into Over Pricing of Drugs
U.S. Senate Panel Launched Bipartisan Probe into Over Pricing of Drugs

Drugmakers Valeant Pharmaceuticals and Turing Pharmaceuticals were hitting headlines last month for over pricing of drugs. Therefore the U.S senate has launched a probe seeking documents, from four drug companies namely these two companies along with Retrophin Inc and Rodelis Therapeutics.

‘After hitting headlines last month for sudden increase in price of drugs, four drug companies namely Valeant, Turing, Retrophin and Rodelis are being scrutinized by the U.S Senate panel.’
"Valeant has planned to cooperate with the committee on the inquiry. Drug prices fluctuate due to factors including the cost of development and acquisition and complexities in the health care cost reimbursement system," said Laurie Little, spokeswoman.

The Senate committee also sent a letter to Retrophin requesting information about Thiola, a drug that treats kidney disease, and whose price rose to $30 per tablet from $1.50 after Retrophin acquired licensing rights.

"Pharmaceutical pricing that strikes the right balance between affordability and enabling innovation is an issue of legitimate concern for patients and the industry," said Chris Cline, Retrophin director of investor relations.

The Senate committee also said it wanted to hear more about Turing's Daraprim, an anti-infective drug used to treat toxoplasmosis among other diseases. Earlier this year Turing raised the price on the drug overnight to $750 per pill from $13.50.

"The sudden, aggressive price hikes for a variety of drugs used widely for decades affect patients and health care providers and the overall cost of health care," said said Collins adding that the Senate committee is probing the increases given the potential harm to patients.

Source: Medindia

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