Pharma Company Agrees To Pay Up To $50M In FCA Suit Over Medicaid Rebate Dispute

( November 2, 2023, 1:25 PM EDT) -- WASHINGTON, D.C. — The U.S. Department of Justice (DOJ) announced that Nostrum Laboratories Inc. and its CEO and founder, Nirmal Mulye, have agreed to pay a minimum of $3,825,000, and up to $50 million based on contingencies such as specified earnings or other payments received, to settle allegations that the company and Mulye violated the False Claims Act (FCA) by underpaying Medicaid rebates to state Medicaid programs covering the drug Nitrofurantoin Oral Suspension (Nitro OS). ...

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