CVS Caremark to Pay $19.9 Million to Settle State FCA Claims

December 21st, 2011 by Qui Tam

CVS agreed to pay $19.9 million to settle three separate qui tam suits in three separate states that it defrauded state prescription drug plans. The whistleblower suits, which were filed by two former CVS pharmacists, alleged that CVS Caremark fraudulently resold returned drugs, changed plan members submitted prescriptions to make more money, and falsely reported to the states how long it took to provide plan members’ prescriptions to avoid paying contractual penalties or losing state contracts. Of the $19.9 million settlement, almost $7 million will go to the State of California, $4 million to the State of Illinois, and $3 million to the State of Florida.

For more information see: http://latimesblogs.latimes.com/money_co/2011/12/cvs-caremark-to-pay-20m-to-three-states-over-fraud-allegations.html

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