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Terms Announced For Medicaid Drug Suit Settlements

Montgomery, AL – The state of Alabama will receive almost $35 million from settlements of 10 lawsuits accusing prescription drug companies with overcharging Alabama's Medicaid program.

Details of the settlements were revealed by Attorney General Troy King Tuesday.

One-fourth of that settlement will go to private attorneys. The law firms of Hand Arendall of Mobile and Beasley Allen of Montgomery will receive a total of about $4.8 million in attorneys fees and $3.9 million for expenses.

A total of $10.3 million from the settlements will go into the state's cash-strapped General Fund budget and $4.9 million to the state Medicaid agency.

Some of the settlements had been previously announced. King said details with two of the companies were finalized Monday.

(Copyright 2008 by The Associated Press. All Rights Reserved.)

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