Akorn's Delay Moving Three Generics To OTC Leads To $7.9M Settlement In Medicare Billing Complaint

Whistleblower Behind Federal Complaint Will Receive $946,000 From Settlement

Akorn agrees with DoJ to pay $7.9m to settle allegations it deliberately sold three as Rx three ingredients moved to OTC. Mislabeling led Medicare Part D to pay for the drugs for around a year despite the products not being eligible for coverage. 

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Akorn, Inc. agreed to pay nearly $8m admitting it delayed applications to convert formulations of three of its generic drugs from Rx to nonprescription after the US Food and Drug Administration had approved full OTC switches for brands in the same formulations, leading to improper Medicare payments for the firm's products.

Akorn, which in 2021 divested almost all of its OTC portfolio, continued offering diclofenac sodium 1%, olopatadine hydrochloride 0.1%...

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