John Curry: A brief and open letter to Sen. Marc Dann re: Youngstown news; response from Sen. Dann

From Sen. Marc Dann, 12/28/05

thanks john. We are totally failing to maximize value for the positions we hold in the public pensions. It will be a priority if I am elected. keep the pressure on.

From John Curry, 12/28/05
Subject: RE: A brief and open letter to Sen. Marc Dann re. a Youngstown news
release

Sen. Dann,

After reading this article from your area, I was almost ready to lose my lunch. Jim Petro won nothing for STRS retirees. Stan Chesley, and his law firm that Petro "farmed out" this case to, won the 7.8 mil. What a farce!! And Petro wants to be Ohio's next governor? Petro takes the fame, Chesley did the work, and STRS gets a legal bill from Petro. Spare me!!!!!!!!!!!

I wonder why the article didn't mention that Jim Petro was on the STRS board during the period of time that STRS contracted with Medco and this was happening right under Petro's nose-where was Jimmy then? Please let the good people of Youngstown know the truth about this political spin.
I wish you God's speed in winning the next AG's position - it can't come any time too soon.

John Curry - a Proud CORE (Concerned Ohio Retired Educator) member

Merck, Medco to Pay $7.8M to Ohio STRS

Dec 27, 2005 10:26 a.m.

COLUMBUS, Ohio -- State Atty. Gen. Jim Petro has won a $7.8 million award from a Hamilton County jury against pharmaceutical manufacturer Merck and former Merck subsidiary Medco Health Solutions Inc. for defrauding and violating its legal duties to the State Teachers Retirement System of Ohio. Petro sued Medco in Hamilton County Common Pleas Court for overcharging the teachers’ pension fund. The verdict is the first time a U.S. jury has recognized that a company managing pharmacy benefits has a legal duty to act in the best interest of retirees and pensioners, and it is likely to have repercussions for the entire pharmacy benefit manager industry, Petro said. Medco is among the largest PBMs in the industry and the verdict is the largest in favor of a single state against Medco, he added. Petro sued in 2003 to recover damages from the company for overcharging STRS for certain prescription drugs and mail-order dispensing fees, and for wrongfully withholding drug makers' rebates from STRS. The jury found that Medco owed a fiduciary duty to STRS Ohio and breached that duty in the amount of $915,000; that Medco is liable for constructive fraud, awarding damages in the amount of $6.9 million; and that Merck is jointly liable for the actions of Medco but did not tortiously interfere with the contract or business relationship between STRS and Medco. The jury was unable to reach a verdict on whether Merck and Medco should be forced to pay punitive damages to STRS for misconduct, Petro said, noting that the issue will be the subject of another trial that has yet to be scheduled.