On December 14, 2016, we shared the news that two former Heritage Pharmaceuticals (Heritage) executives had been charged by the U.S. Department of Justice in a generic drug pricing-fixing scheme—noting that the investigation was ongoing at both the state and federal levels and could touch dozens of other companies. That statement appears to be prescient, because on December 15, 2016, 20 state attorneys general have filed suit against multiple generic drug makers, accusing them of manipulating prices on two generic medications.

The suit, filed in Connecticut federal court, names Heritage Pharmaceuticals Inc., Aurobindo Pharma USA Inc., Mayne Pharma Inc. and Mylan Pharmaceuticals Inc. as part of a conspiracy to manipulate prices for the antibiotic doxycycline hyclate, and the diabetes drug glyburide. These are the same two drugs that are specifically named in the price-fixing accusations against former Heritage CEO Jeffrey Glazer and former President Janson Malek, as described in our prior alert.