A Senate panel will jumpstart contempt proceedings against a controversial pharmaceutical CEO after he was a no-show before the panel.
The Senate Special Committee on Aging scheduled a business meeting to put in motion holding Michael Pearson in contempt for failing to appear for a deposition on Monday. Pearson is the CEO of Valeant Pharmaceuticals, which has been criticized for raising the price of two decades-old heart drugs.
“Michael Pearson was under subpoena to appear for a deposition today related to the Senate Special Committee on Aging’s drug pricing investigation, and he did not comply with that subpoena,” said Sens. Susan Collins, R-Maine, and Claire McCaskill, D-Mo., who head the panel.
The panel did not divulge when the business meeting will take place.
Pearson continues to be under subpoena to appear before the committee for an April 27 hearing.
Valeant’s board recently decided to find new management and Pearson will stay on until a new CEO is chosen. The pharmaceutical company’s stock price has taken a major hit due to the pricing controversy and questions surrounding the company’s ties to a specialty pharmacy.
The panel has been investigating companies that buy older generic drugs and then jack up the price.
Valeant raised the prices of heart drugs Nitropress and Isuprel by up to 500 percent.
