NHS to sue two generics companies over ranitidine price fixing
Legal action by the NHS against Generics UK Ltd and Ranbaxy UK Ltd has been launched in the High Court. This is the fourth action to be launched
by the NHS over alleged price fixing in the British generics drugs
industry. This case relates to the sale and supply of generic ranitidine.
Jim Gee, chief executive of the NHS Counter-Fraud and Security Management
Service, said: “As with the earlier proceedings we have instigated,
the decision has been taken independently of the Serious Fraud Office’s
ongoing investigation.”
The offices and homes of the directors of six generics companies were
raided by Serious Fraud Office officials two years ago (PJ, 13 April
2002, p487). After the raid, the SFO handed seized papers to the Department
of Health. No criminal charges have been brought.
Mr Gee went on: “All the civil claims we have brought will be vigorously
pursued to secure the maximum possible recovery
for the NHS either by judgment and damages or earlier agreement with
the defendant companies.”
In a statement, Ranbaxy UK’s Indian parent company said: “The
company is not aware of any wrongdoing and will defend vigorously legal
proceedings, if served.”
Ranbaxy added that the Department of Health had not quantified its damages
claim and had said that it was not in a position to set out its claim
in detail or to serve its claim so as to commence proceedings.
A spokesman for Generics UK’s German parent company (Merck Generics)
said that the matter was under investigation and the company had no comment
to make. |