Complaint Filed Against Walgreens for Medicare Fraud Claims

Posted: 10/29/2013  browse the blog archive

Fox Rx, Inc. has filed a complaint against Walgreens Company in the federal district court of the Southern District of New York for violations of the False Claims Act.  Walgreens allegedly submitted or caused the submission of false claims to state and federal health care programs such as Medicare and Medicaid.

Fox Rx alleges that Walgreens routinely overbilled Medicare and Medicaid by failing to substitute generic drugs for brand-name medication, in violation of state laws that required Walgreens pharmacies to substitute equivalent generic drugs whenever possible.  Walgreens also allegedly dispensed expired drugs to Medicare and Medicaid beneficiaries.  These actions caused the U.S. government, as well as state governments, to pay more for prescription drugs than they should have.

The lawsuit was filed under the False Claims Act, which allows those with knowledge of fraud against the government to sue on behalf of the government and share a claim in the recovery.  According to the False Claims Act, the government may be awarded damages three times the amount of damages sustained by the government because of the false claims.  Fox Rx would receive 15 to 30 percent as their share of the recovery.

The Chanler Group, in association with the Hirst Law Group, represents whistleblowers who take action under the False Claims Act to report fraud committed against the federal and state governments.  We have years of experience representing whistleblower clients who expose every kind of fraud against the government, including health care fraud, contract fraud, and tax fraud.  Read more about our expertise in False Claims Act cases and how you can take action.

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