Walgreens Settles Allegations of Submitting False Claims for Prescriptions

Monday, 16 September 2024, 13:52

Walgreens has settled allegations of submitting false payment claims related to prescriptions. The pharmacy agreed to pay $106 million to resolve lawsuits filed under the False Claims Act. This legal action involved whistleblower claims concerning unauthorized billing to government health care programs over a span from 2009 to 2020. Walgreens addressed the software error and emphasizes its commitment to improving processes.
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Walgreens Settles Allegations of Submitting False Claims for Prescriptions

Addressing Allegations Against Walgreens

Walgreens has agreed to pay $106 million to settle lawsuits alleging that the pharmacy chain submitted false payment claims to government health care programs for prescriptions not dispensed. The settlement resolves lawsuits filed in New Mexico, Texas, and Florida under the False Claims Act, allowing private parties to seek damages on behalf of the government.

Details of the Settlement

  • The lawsuits alleged Walgreens billed Medicare, Medicaid, and other federal health care programs for prescriptions processed but never picked up.
  • Walgreens cooperated with the investigation and improved its electronic management system to prevent future issues.
  • The company attributed the problem to a software error that led to incorrect billing.
  • Walgreens stated they voluntarily refunded overpayments and reported issues to the government.
  • In the settlement, Walgreens does not admit legal liability.

This scenario indicates the necessary vigilance in the pharmacy sector and the significance of compliance with federal regulations.


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