Price intervened on rule affecting drug profits the same day he got drug stocks: report

Health and Human Services Secretary Tom Price, while serving as a Georgia congressman, sought to intervene on a rule that would have hurt drug profits and driven down share prices the same day he purchased drug stocks, ProPublica reported Friday.

According to records examined by the outlet, Price’s broker bought up to $90,000 worth of stock in six pharmaceutical companies last year, including companies Eli Lilly, Amgen, Bristol-Meyers Squibb, McKesson, Pfizer and Biogen.

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According to ProPublica, Price legislative aide Carla DiBlasio emailed health officials on the same day as the stock purchase in an attempt to set up a call with Centers for Medicare and Medicaid Services chief medical officer Patrick Conway.

DiBlasio indicated that alongside a planned discussion of joint replacement procedures, Price would also address “his concerns” about the rule, known as Medicare Part B Drug Payment Model.

“Chairman Price may briefly bring up … his concerns about the new Part B drug demo, as well,” she wrote, ProPublica reported.

“Congressman Price really appreciates the opportunity to have an open conversation with Dr. Conway, so we really appreciate you keeping the lines of communication open.”

The phone conversation was scheduled for the following week, according to the report, which noted that six pharmaceutical companies also opposed the rule, with McKesson warning its investors that it could damage share prices.

Price, however, has maintained that he had no knowledge or involvement in his broker’s exchanges at the time that they were made, something that came up during his confirmation hearings earlier this year.

Earlier in March it was also reported that the former U.S. Attorney Preet Bharara, whom President Trump fired earlier this year, was spearheading an investigation into Price’s stock trades.