Eli Lilly threatens to cut 340B discounts for hospitals that won't share claims data, as the American Hospital Association calls the policy illegal.

Eli Lilly has told more than 1,000 hospitals participating in the 340B drug discount program to submit claims data over the next five days — or lose price breaks.

Select hospitals have refused to share data to prove they’re not double-dipping drug discounts, Lilly said. Hospitals, which have until Monday to comply, are urging the government…