In November 2023, the Texas Office of the Attorney General’s Civil Medicaid Fraud Division sued Pfizer, Inc., Tris Pharma, Inc. and Tris CEO Ketan Mehta for allegedly defrauding the Texas Medicaid program by providing adulterated pharmaceutical drugs to Texas children in violation of the Texas Medicaid Fraud Prevention Act, now known as the Texas Health Care Program Fraud Prevention Act (“THFPA”).
The lawsuit alleged that Pfizer contracted with Tris, a drug manufacturer, to produce a pediatric attention-deficit/ hyperactivity disorder medication (“ADHD”), Quillivant XR, and that Pfizer knowingly distributed Quillivant to children on Medicaid despite the drug’s pattern of failing quality control tests due to flawed manufacturing practices. The lawsuit alleged that for years, Tris altered the drug’s testing method in violation of federal and state laws to ensure Quillivant passed regulatory hurdles and could continue to be sold.
The lawsuit alleged that despite knowing about these serious problems, Pfizer misrepresented to the Medicaid program that Quillivant was in compliance with federal and state law, and concealed from Medicaid decision-makers the fact that Quillivant was an adulterated drug. As a result of these alleged misrepresentations and concealments, Pfizer and Tris allegedly obtained the benefit of taxpayer-funded Medicaid reimbursement for Quillivant.
The lawsuit alleged that from 2012 to 2018, Pfizer and Tris continually manipulated Quillivant testing to hide poor manufacturing practices and defraud the Texas Medicaid program. During this time, many families complained that the medication failed to work.
The lawsuit stated: “At no point did Defendants warn Texas Medicaid providers or decision-makers that Quillivant had known manufacturing issues affecting its efficacy, thereby depriving the Medicaid program of the crucial information it relies on.… As a result, thousands of Texas children received an adulterated Schedule II Controlled Dangerous Substance.”
The lawsuit was initially filed under seal, but the judge unsealed the petition at the Attorney General’s request.
On November 19, 2025, the Texas Attorney General announced a $41.5 million settlement with Pfizer and Tris Pharma for allegedly providing adulterated pharmaceutical drugs to Texas children in violation of the Texas Health Care Program Fraud Prevention Act (“THFPA”).
Attorney General Paxton stated in announcing the settlement, “I will never back down from taking on the biggest corporations in the world that deceive and take advantage of Texans. Pfizer and Tris Pharma provided adulterated drugs to children for years and changed test results in order to obtain the benefit of taxpayer-funded Medicaid reimbursement. Under my watch, Big Pharma will not escape justice for lying about the effectiveness of its drugs.”
If you or a loved one suffered injuries (or worse) as a result of a bad drug/defective drug in the United States, you should promptly seek the legal advice of a pharmaceutical claim lawyer in your state who may investigate your drug claim for you and represent you or your loved one in a claim against a pharmaceutical company, if appropriate.
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