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Attorney general recovers $125,000 for Missouri Medicaid

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Missouri Attorney General Jay Nixon last month recovered more than $125,000 for the state’s Medicaid program from a company that was improperly marketing off-label use of the topical drug Loprox.

According to a news release from Nixon’s office, the funds come from a settlement with drug manufacturer Medicis. The agreement with Nixon, other state attorneys general and the U.S. Department of Justice resolves concerns that Scottsdale, Ariz.-based Medicis improperly engaged in off-label marketing of Loprox.

Pharmaceutical companies are not allowed to market their drugs for purposes not approved by the Food and Drug Administration. In this instance, the release said, the FDA approved the use of Loprox in treating fungal skin infections among patients older than 10, but the company allegedly marketed it for use in treating diaper rash and other skin disorders for younger children.

In addition to the money paid to Missouri, other states and the federal government, Medicis also has entered into a corporate integrity agreement with the Office of Inspector General of the U.S. Department of Health and Human Services to ensure future compliance with the law.

The case was brought by the Medicaid Fraud Control Unit of the attorney general’s Office. The unit, established by Nixon in 1994, has authority under state law to investigate and prosecute, both civilly and criminally, allegations of fraud against Missouri’s Medicaid program.

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