Navigation Links
Walgreens Pays U.S. $9.9 Million to Settle Medicaid Prescription Drug Allegations
Date:9/29/2008

WASHINGTON, Sept. 29 /PRNewswire-USNewswire/ -- Illinois-based national retail pharmacy chain Walgreens has paid the United States and four participating states $9.9 million to resolve allegations of falsely billing the Medicaid program, the Justice Department announced today.

Walgreens submitted claims to Medicaid agencies in four states for prescription drugs dispensed to persons covered both by Medicaid and by private third-party insurance. The retail pharmacy chain allegedly charged the four state Medicaid programs the difference between what the private insurance companies paid for the drugs and what the state Medicaid programs would have paid for the drugs in the absence of private insurance.

The government alleges the claims were false because the drug chain was entitled to reimbursement from the Medicaid programs only for the amount the Medicaid beneficiary would have been obligated to pay Walgreens had the claims been submitted solely to the private insurers, typically the co-payment amount, yet it knowingly submitted claims to the Medicaid programs in excess of the co-pay amount. As a result of this improper billing, Walgreens received reimbursement amounts from the states' Medicaid programs that were higher than it was entitled to receive.

"This settlement confirms that we will vigorously pursue allegations of fraud and abuse in state Medicaid programs, which are funded, in part, by the federal government," said Gregory G. Katsas, Assistant Attorney General for the Department of Justice's Civil Division.

The United States initiated the investigation in response to a lawsuit brought by two pharmacists at Walgreens, Daniel Bieurance and Neil Thompson. Under the False Claims Act, private individuals can bring such actions for fraud on behalf of the United States and collect a share of any proceeds recovered. Under various state False Claims Acts, private individuals can also bring actions for fraud on behalf of those states and receive a share of the proceeds. As a result of today's settlement, the two relators will share $1,446,658.54 as their portion of the recovery.

"Health care fraud continues to be a priority for both the District of Minnesota and the Department of Justice nationwide," said U.S. Attorney Frank J. Magill. "Our office is gratified to see a substantial recovery of funds for the taxpayers, helping to ensure the continued availability of Medicare and Medicaid trust funds in the future."

The case was handled jointly by the Justice Department's Civil Division and the U.S. Attorney's Office for the District of Minnesota, and the offices of the Attorney General for the states of Michigan, Florida, Minnesota and the Commonwealth of Massachusetts, with investigative assistance provided by the Office of the Inspector General, Department of Health and Human Services.

The case is entitled U.S. ex rel. Thompson et al. v. Walgreen Co., (D. Minn) Civ. Action No. 05-SC-759.


'/>"/>
SOURCE U.S. Department of Justice
Copyright©2008 PR Newswire.
All rights reserved

Related medicine news :

1. Longs Drug Stores Confirms Receipt of Expression of Interest from Walgreens
2. Walgreens to Pay $35 Million to U.S., 46 States & Puerto Rico to Settle Medicaid Prescription Drug Fraud Allegations
3. Walgreens Pays $35 Million, Settles Pharmacist-Whistleblower Qui Tam Drug Switching Allegations
4. Video: Walgreens to Provide $35 Million in Free Health Screenings with The Take Care Health Tour
5. Worlds First Non-Contact Thermometer for Children Now Available at Walgreens Nationwide
6. AARP & Walgreens Team Up to Help Seniors Get the Right Rx
7. Kidz-Med to Launch the Thermofocus(R) 5-in-1 Exclusively at Walgreens Stores Nationwide
8. Walgreens Launches New Health Essentials Catalog and Website for AARP Members Featuring More Than 20,000 Health-Related Products
9. Biopharmaceutical Company, Cephalon, To Pay $425 Million & Enter Plea to Resolve Allegations of Off-Label Marketing
10. Herley New England Receives Additional $1.3 Million Contract Award from Lockheed Martin for the Multi-Mission Helicopter
11. Congress Sets New Course for Lung Cancer Research; Approves $20 Million for New Defense Department Program
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:6/25/2016)... ... June 25, 2016 , ... Conventional wisdom preaches the benefits of moderation, whether ... latter, setting the bar too high can result in disappointment, perhaps even self-loathing. However, ... their goal. , Research from PsychTests.com reveals that behind the tendency ...
(Date:6/24/2016)... ... ... June 19, 2016 is World Sickle Cell Observance Day. In an effort ... holistic treatments, Serenity Recovery Center of Marne, Michigan, has issued a pain ... Disease (SCD) is a disorder of the red blood cells, which can cause episodes ...
(Date:6/24/2016)... ... June 24, 2016 , ... Global law firm Greenberg Traurig, P.A. ... The attorneys chosen by their peers for this recognition are considered among the top ... Shareholders received special honors as members of this year’s Legal Elite Hall of Fame: ...
(Date:6/24/2016)... NY (PRWEB) , ... June 24, 2016 , ... Topical BioMedics, Inc, makers of Topricin ... companies that call for a minimum wage raise to $12 an hour by 2020 and ... This will restore the lost value of the minimum wage, assure the wage floor does ...
(Date:6/24/2016)... ... June 24, 2016 , ... ... to recognize Dr. Barry M. Weintraub as a prominent plastic surgeon and the ... in the world, and the most handsome men, look naturally attractive. Plastic surgery ...
Breaking Medicine News(10 mins):
(Date:6/23/2016)... , June 23, 2016 Any dentist who ... challenges of the current process. Many of them do not ... the technical difficulties and high laboratory costs involved. And those ... offer it at such a high cost that the majority ... Dr. Parsa Zadeh , founder of Dental ...
(Date:6/23/2016)... LOS ANGELES , June 23, 2016 /PRNewswire/ ... (NASDAQ: CAPR ), a biotechnology company ... first-in-class therapeutics, today announced that patient enrollment in ... progrEssion in Duchenne) has exceeded 50% of its ... its enrollment in the third quarter of 2016, ...
(Date:6/23/2016)... 23, 2016  Astellas today announced the establishment of Astellas Farma Colombia (AFC), a new affiliate with operations headquartered ... Latin America . ... ... ... ...
Breaking Medicine Technology: