PROVIDENCE, R.I. (AP) — Providence has recovered $400,000 in a settlement with a California drug wholesaler accused of wrongfully inflating prescription drug prices.
Mayor Angel Taveras (tuh-VEHR’-us) and City Solicitor Jeffrey Padwa on Thursday announced the damages from a settlement with San Francisco-based McKesson Corp.
The class action lawsuit filed in federal court in Boston alleged that McKesson and drug data publisher First DataBank wrongfully inflated drug prices and that municipalities, public assistance programs and others overpaid for 400 brand-name medications for employees and retirees.
McKesson agreed to pay $82 million to settle the claims but denied wrongdoing.
Padwa called the settlement the first significant victory of the affirmative litigation unit he created in 2012.