You can now read 5 articles in a month for free on BostonGlobe.com. Read as much as you want anywhere and anytime for just 99¢.

Drug firm to pay Mass. $1m in ineffective drug settlement

A Texas-based drug company will pay nearly $1 million to Massachusetts as part of a nationwide settlement over allegations that it illegally billed for an ineffective drug, prosecutors said.

Healthpoint Ltd. and its partner DFB Pharmaceuticals, Inc. will pay a total of $48 million to 47 states to compensate state health care and Medicaid programs that purchased Xenaderm, a drug the company marketed to treat wounds like pressure ulcers, Attorney General Martha Coakley’s office said in a statement.

Continue reading below

The settlement, announced by the Department of Justice in December, will return $666,500 plus interest to MassHealth and $329,550 to the Commonwealth’s Medicaid program, the statement said.

“Illegal drug marketing imposes unnecessary costs on the Medicaid system and taxpayers that are footing the bill,” Coakley said in the statement. “This settlement demonstrates the importance of policing the pharmaceutical industry and remaining vigilant with respect to drug marketing misconduct.”

Todd Feathers can be reached at todd.feathers@globe.com. Follow him on Twitter at @ToddFeathers.
Loading comments...
Subscriber Log In

You have reached the limit of 5 free articles in a month

Stay informed with unlimited access to Boston’s trusted news source.

  • High-quality journalism from the region’s largest newsroom
  • Convenient access across all of your devices
  • Today’s Headlines daily newsletter
  • Subscriber-only access to exclusive offers, events, contests, eBooks, and more
  • Less than 25¢ a week
Marketing image of BostonGlobe.com
Marketing image of BostonGlobe.com
Already a subscriber?
Your city. Your stories. Your Globe.
Yours FREE for two weeks.
Enjoy free unlimited access to Globe.com for the next two weeks.
Limited time only - No credit card required!
BostonGlobe.com complimentary digital access has been provided to you, without a subscription, for free starting today and ending in 14 days. After the free trial period, your free BostonGlobe.com digital access will stop immediately unless you sign up for BostonGlobe.com digital subscription. Current print and digital subscribers are not eligible for the free trial.
Thanks & Welcome to Globe.com
You now have unlimited access for the next two weeks.
BostonGlobe.com complimentary digital access has been provided to you, without a subscription, for free starting today and ending in 14 days. After the free trial period, your free BostonGlobe.com digital access will stop immediately unless you sign up for BostonGlobe.com digital subscription. Current print and digital subscribers are not eligible for the free trial.