Walgreens Resolves Allegations of Submitting False Payment Claims for Prescriptions
Understanding the Walgreens Settlement
Walgreens has agreed to a $106 million settlement concerning allegations that it submitted false payment claims with government health care programs, specifically for prescriptions that were never dispensed. The settlement resolves lawsuits from New Mexico, Texas, and Florida raised by whistleblowers who worked within Walgreens’ pharmacy operations. These claims, initiated under the False Claims Act, accuse Walgreens of improperly billing Medicare, Medicaid, and other federal programs from 2009 to 2020.
Details of the Allegations
- Walgreens was accused of billing for prescriptions that were processed but not picked up.
- The pharmacy chain has made system improvements to minimize future issues.
- They cooperated with investigations led by the U.S. Justice Department.
According to Walgreens, a software error led to inadvertent billing for some government programs, and all overpayments were voluntarily refunded. While the company did settle, it did not admit any legal liability in the allegations.
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