Democrat lawmakers launch major investigation into pharmaceutical pricing

A powerful committee of the freshly inaugurated Democrat-led US House of Representatives has launched a far-ranging investigation into the drug pricing practices of the US pharmaceutical industry.

Chairman Elijah Cummings has sent letters to 12 drug companies requesting evidence related to their internal processes, including “information and communications on price increases, investments in research and development, and corporate strategies to preserve market share and pricing power.”

A number of these drugmakers saw their stock prices fall in the wake of the announcement from the Committee on Oversight and Reform.