Oct 15 (Reuters) - Canadian drugmaker Valeant
Pharmaceuticals International Inc VRX.TO VRX.N said it was
subpoenaed by U.S. prosecutors seeking information on its
pricing decisions, drug distribution and patient assistance
programs.
Valeant, under fire for steeply raising its drug prices,
said it recently received the subpoenas from the U.S. Attorney's
Office for the District of Massachusetts and the U.S. Attorney's
Office for the Southern District of New York.
Valeant is reviewing the subpoenas and intends to cooperate
with the investigations, the company said in a statement on
Wednesday.
The company said it also responded to a letter from U.S.
Democratic Senator Claire McCaskill concerning Valeant's heart
drugs Nitropress and Isuprel. Valeant had tripled Isuprel's
price and raised Nitropress price more than six times after
buying them in February.
In the letter to McCaskill, Chief Executive Michael Pearson (L:PSON)
said the company hired a consultant to review the two drugs'
pricing and reimbursement by the Centers for Medicare and
Medicaid Services, the Wall Street Journal reported earlier.
The consultant found that "there was considerable room to
increase the price of both drugs without unduly depleting the
funds available to the hospitals from payers" even after price
increases, the letter added, according to the Journal.
Massachusetts Attorney's office, Southern District of New
York Attorney's office and Valeant could not be reached for
comment outside business hours.
In September, Valeant came under attack by all 18 Democratic
members of the House of Representatives Committee on Oversight
and Government Reform who urged their chairman to subpoena
Valeant to provide documents relating to its drugs prices.
Valeant shares closed at C$229.08 on Wednesday, down 15
percent since it opened at C$263.13 on Sept. 28 when it came
under the Democratic lawmakers' onslaught.