Thursday, June 12, 2008

WALGREENS TO PAY $35 MILLION TO UNITED STATES, 42 STATES AND PUERTO RICO TO SETTLE MEDICAID PRESCRIPTION DRUG FRAUD CLAIMS
"The United States, 42 states and Puerto Rico will receive $35 million from Walgreen Co., of Deerfield, Illinois, to settle Medicaid prescription-drug-fraud claims initiated by a whistleblower, federal and state officials announced today. Walgreens, a nationwide pharmacy chain with more than 5,000 stores in 48 states and Puerto Rico, allegedly substituted different versions of prescribed drugs (such as tablets for capsules) solely to significantly increase the cost and profit rather than for any legitimate medical reason. The settlement covers Walgreens’ submission of reimbursement claims to Medicaid programs in 42 states and Puerto Rico for three prescription drugs from July 2001 through 2005: Ranitidine (generic Zantac), Fluoxetine (generic Prozac) and Eldepryl or Selegiline (generic Eldepryl)."

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