Walgreens allegedly billed the government for prescriptions never dispensed, says DOJ.
September 16, 2024 – Susan Morse, Executive Editor –
Walgreens has agreed to pay $106.8 million to resolve allegations that it billed the government for prescriptions never dispensed, according to the Department of Justice.
The government alleges that, between 2009 and 2020, Walgreens submitted false claims for payment to Medicare, Medicaid and other federal healthcare programs for prescriptions that it processed but were never picked up by beneficiaries. As a result, Walgreens received tens of millions of dollars for prescriptions that it never actually provided, the DOJ said.
WHY THIS MATTERS
The federal settlement with Walgreens resolves three whistleblower cases brought in New Mexico, Texas and Florida, according to the DOJ.
As part of the resolution, Walgreens received credit for cooperation and remediation. Walgreens implemented enhancements to its electronic pharmacy management system to prevent future similar conduct.
“Adopting new technology and systems can be beneficial for providers, beneficiaries, and federal payers, including Medicare, Medicaid and TRICARE,” said U.S. Attorney Damien M. Diggs for the Eastern District of Texas. “However, we will not allow companies to hide behind their implementation of ill-conceived technology and systems that result in billing federal healthcare programs for goods and services never provided to beneficiaries.”
