Law360 (August 9, 2019, 10:09 PM EDT) — Mallinckrodt ran “one of the most outrageous price-gouging schemes in the history of American medicine” on its hormone gel used primarily to treat an infant seizure syndrome, according to a new suit filed by Humana, which says the scheme has cost it more than $700 million. 

The insurance giant laid out the accusations Thursday, telling a California federal court that pharmaceutical company Mallinckrodt ARD LLC used a three-pronged plan to keep its hormone gel Acthar at the top of the market despite the skyrocketing price.

A vial of Acthar, a drug that has been in circulation since the 1950s, has climbed to…