Sanofi pasteur to pay for overpriced Canadian vaccines

One of the world's largest vaccine producer's Canadian branch will pay more than $2.5 million after government regulators found the company overcharged for two vaccines that protect against childhood illnesses.

Sanofi pasteur said that it has obeyed the Patented Medicines Prices Review Board to pay $2,512.877.74 after it was found to have overpriced the two drugs, the Toronto Sun reports.

The overpriced drugs were Quadracel, which is meant to immunize against diphtheria, tetanus, pertussis and polio, and Pentacel, which provides protection against bacterial meningitis and other infections.

Sanofi pasteur said, the Toronto Sun reports, that it paid the fine “on the understanding that those funds will be returned to sanofi pasteur in the event the judicial review application is successful.”

Accroding to the review board, sanofi pasteur sold Quadracel at excessively high prices from 2002 to 2008 and overcharged for Pentacel from 2002 to 2007. The prices, the review board said, exceeded long-established guidelines meant to provide detailed guidance and predictability to patentees.

Sanofi pasteur argued in its defense that the vaccines are unique and require “a more costly level of research and development” and that they are mostly sold to governments, which have significant bargaining power," the Toronto Sun reports.

No ruling was made on whether the company had deliberately engaged in a policy of excessive price fixing.