Attorney General Kwame Raoul, together with a bipartisan group of 50 attorneys general, has filed for preliminary approval of a $39.1 million settlement with the generic drug manufacturer Apotex. The case involves allegations of conspiracy to inflate pharmaceutical prices and restrict competition.
Raoul advised residents of Illinois that those who purchased certain generic prescription drugs from Apotex between May 2009 and December 2019 might be eligible for compensation. Eligible consumers can verify their status by calling a toll-free number, emailing, or visiting a website provided by the Attorney General's office.
"This settlement builds on the work my office is doing to hold drug companies accountable for engaging in practices to maximize profits at the expense of the health and pocketbooks of Illinoisans," Raoul stated. "I encourage any Illinoisan who may have purchased a generic prescription from Apotex to check their eligibility for compensation that is included in this settlement."
The settlement terms involve Apotex's agreement to cooperate with ongoing multistate litigation against 30 corporate defendants and 25 individual executives and to implement internal reforms for fair competition and compliance with antitrust laws.
The initial announcement of the settlement with Apotex, together with a $10 million settlement with Heritage Pharmaceuticals, was made in October 2024. It was subject to the approval of all necessary states and territories, which has now been obtained. The Attorney General is seeking preliminary approval from the U.S. District Court for the District of Connecticut.
Raoul and his coalition's allegations against Apotex, as well as Heritage, assert long-standing conspiracies to manipulate prices, reduce competition, and restrain trade concerning numerous generic drugs. Both companies have committed to contributing to the ongoing litigation.
The current proceedings evolve from antitrust actions begun with a complaint filed in 2016 and further expanded in 2019. These complaints involve Teva Pharmaceuticals and various large drug manufacturers, with numerous executives named as defendants. Significant evidence underpins these cases, including vast document databases and phone records.
Each antitrust complaint outlines different combinations of drugs and defendants and describes how industry executives engaged in collusion honed through social engagements and communications. The language used in these practices includes terms that downplay their illegal agreements.
Raoul is joined by attorneys general from 49 other states and territories, including California, New York, Texas, and others, showcasing widespread involvement in addressing these allegations.