Regeneron faces DOJ complaint over allegations of drug-price manipulation

Regeneron Pharmaceuticals is facing a legal battle with the U.S. Department of Justice over allegations regarding the reporting of sales prices for its macular degeneration drug, Eylea. The company has responded to the complaint, stating that reimbursing credit card service fees to distributors does not impact the drug’s price and has deemed the allegations as “meritless”.

The DOJ filed a complaint in federal court in Boston accusing Regeneron of failing to report millions of dollars in payments used to subsidize Eylea purchases through reimbursing distributors for credit card processing fees. Eylea, approved by the FDA in 2011, is used for treating conditions like wet age-related macular degeneration.

Regeneron’s statement emphasizes that the company believes the complaint lacks merit and is prepared to defend itself against the allegations. The legal dispute underscores the importance of accurate reporting and transparency in the pharmaceutical industry, especially when it comes to pricing practices for essential drugs.

The outcome of this legal battle will have significant implications for Regeneron Pharmaceuticals and the broader healthcare sector. Stay tuned for further developments as the case progresses.