‘Apparent Coordinated Obstruction:’ Lawmakers Renew Investigation Of Generic Drugmakers’ Pricing

Rep. Elijah Cummings (D-Md.) and Sen. Bernie Sanders (I-Vt.) revive a 2014 probe into drug price-fixing allegations by generic drugmakers Mylan, Teva Pharmaceuticals and Heritage Pharmaceuticals. The lawmakers are asking for documents -- that the company has previously failed to provide Congress -- related to allegations that the three companies coordinated to set prices for a range of prescription drug treatments.

Stat: Sanders And Cummings Renew Probe Into Generic Pricing They Say Was ‘Stonewalled’

Two members of Congress — Rep. Elijah Cummings (D-Md.) and Sen. Bernie Sanders (I-Vt.) — have asked three generic drug makers for documents as part of an investigation into price hikes, renewing an effort the lawmakers first began in 2014. In letters to Mylan, Teva Pharmaceutical, and Heritage Pharmaceuticals, Cummings and Sanders also asked for information about allegations the companies apparently attempted to “stonewall” their 2014 probe. The allegations surfaced this past May in a price-fixing lawsuit that was filed by 44 state attorneys general against 20 generic drug makers. (Silverman, 8/14)

Bloomberg: Generic-Drug Giants Accused Of Blocking Congressional Probe

Lawsuits filed by state attorneys general in 2016 and this year allege a conspiracy among 20 drugmakers to carve up the market and raise prices of more than 100 drugs including commonly prescribed antibiotics as well as medications for reducing cholesterol and controlling seizures. Those actions, authorities allege, cost taxpayers and patients billions of dollars. The prices of some drugs increased by as much as 8,281% between October 2013 and April 2014, according to the lawmakers’ letter made public on Wednesday. The most recent lawsuit included emails from 2014 in which executives at Teva, Mylan and Heritage planned to respond to congressional inquiries with “polite f-u” letters. (Flanagan and Griffin, 8/14)

CNBC: Lawmakers Accuse Drugmakers Mylan, Teva Of 'Coordinated Obstruction'

The lawmakers said they decided to open an investigation following findings in a lawsuit filed by 44 states in May that accused the drugmakers and others of inflating drug prices and stifling competition for generic drug versions. “Not only did your company’s apparent obstruction undermine our investigation, but it may have caused further harm to patients and health care providers by delaying the discovery of evidence about the companies’ price-fixing,” Cummings and Sanders wrote in each of the letters, dated August 13. (Lovelace, 8/14)

The Hill: Cummings, Sanders Investigate Three Drug Companies For 'Obstructing' Congressional Probe

Cummings and Sanders are requesting the original documents they asked for in 2014, as well as all communications between the three companies related to that investigation. Cummings and Sanders also asked the Department of Justice (DOJ) last month to open an investigation into whether the three companies obstructed their probe. (Hellmann, 8/14)

In other news from Capitol Hill —

Modern Healthcare: Lawmakers Hoping To Overhaul Privacy Rules For Substance-Use Disorders

Lawmakers are hoping Congress can pass a proposed overhaul of addiction-related privacy laws now that the American Medical Association is no longer opposed. Hospitals badly want Congress to waive the statute known as 42 CFR Part 2 and its dictates that only substance-use disorder, or SUD, patients themselves can decide who sees their medical history. They argue that given the stakes with widespread opioid addiction, it's risky to ban doctors from sharing medical histories when appropriate. (Luthi, 8/14)

ProPublica: Senators Call For Closing “Loopholes” That Make Health Care Fraud Easy

Following a detailed account of how scam artists can easily gain access to health care cash, six Democratic senators this week sent a letter to federal regulators urging them to “close loopholes” that allow “bad actors” to commit fraud. The letter came in response to a recent story by ProPublica and Vox that traced the brazen scam of a Texas personal trainer, who despite having no medical credentials was able to submit a blizzard of fake bills with some of the biggest insurance companies in the country and recoup millions. (Allen, 8/14)

The Hill: Democrats Demand Trump Officials Withdraw Rule On Transgender Health

Democrats are warning the Trump administration not to move forward with a proposed rule that would undo an ObamaCare provision that prohibits health care discrimination based on sex. In a letter sent to the Department of Health and Human Services (HHS), 125 House Democrats urged the administration to withdraw a proposal they said would give doctors, insurers, hospitals and others a license to discriminate against transgender patients. (Weixel, 8/14)

Politico: House Panel Issues Subpoena To Compel Testimony From 8chan Owner

The House Homeland Security Committee issued a subpoena to force the owner of fringe online message board 8chan, which has been linked to mass shootings, to testify at a deposition next month on any efforts his platform has made to combat racist and violent content. (Lima, 8/14)

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