Gilead (GILD), Others Subpoenaed Over Copay Charity Connections (BIIB) (JAZZ)

Biogen (Nasdaq: BIIB), Gilead Sciences (Nasdaq: GILD), and Jazz Pharmaceuticals (Nasdaq: JAZZ) shares are on watch following reports that the drugmakers received federal subpoenas over the companies' relationships to charitable nonprofits.

Bloomberg noted Friday morning that specific details of the subpoenas weren't made available and the specific charities weren't named.

Gilead and Jazz received subpoenas from the U.S. Attorney for the District of Massachusetts.

Bloomberg recently reported that the seven largest copay charities had combined contributions of over $1.1 billion for 2014, which was more than double the figure from 2010. The efforts by drug companies are aimed at stemming the backlash from ever increasing drug prices.

Valeant Pharma (NYSE: VRX) disclosed receiving a subpoena from the U.S. Attorney’s offices in Massachusetts and the Southern District of New York last October over its patient-assist programs.

BIIB, GILD, and JAZZ are flat in early trading.

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