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Wednesday, June 10, 2020

Endo International under pressure on NY insurance fraud charges

Endo International (ENDP -12.5%) already under pressure from the large-scale antitrust complaint over alleged price-fixing among generic drugmakers, takes another shot related to its role in the opioid epidemic.
The New York State Department of Financial Services (DFS) has filed charges against the company accusing it of misrepresenting the safety and efficacy of its opioid pain medicines while minimizing the risk of addiction and other deleterious effects.
DFS claims that Endo made 18.4% of the opioids that were distributed in the state from 2006 – 2014.
The company faces penalties of $5,000 plus the amount of the fraudulent claim for each violation under one statute (each prescription considered a violation) and $5,000 per violation under another (also on a per-prescription basis).
A hearing is scheduled for October 26.
https://seekingalpha.com/news/3582055-endo-international-under-pressure-on-ny-insurance-fraud-charges

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