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Why the latest charge — that Mylan overcharged government by millions — should really scare its executives

The latest charge against Mylan is a wonky but serious one, with the head of the Centers for Medicare and Medicaid Services confirming that the company overcharged the government and taxpayers by millions of dollars for many years and that CMS “expressly” told Mylan of this.

CMS Acting Administrator Andy Slavitt said he could not comment on the total amount of money Mylan owed the federal government as a result, though he did say the overcharging went back to 1997. Two Democratic senators said on Wednesday that the difference amounted to millions of dollars.

The False Claims Act, which lawmakers asked the Justice Department in late September to investigate Mylan for violating, is the strongest weapon the government has in these types of cases, according to James Matthews, partner and litigator at Foley & Lardner.

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