CVS TO PAY $17.5 MILLION TO SETTLE WHISTLEBLOWER CASE FOR OVERCHARGING MEDICAID

CVS Pharmacy Inc. has agreed to pay $17.5 million to resolve charges it over billed Medicaid programs in 10 states. CVS collected more than it should have from Medicaid for filling prescriptions for people who had other insurance. Usually, pharmacies can only bill Medicaid for the amount of a patient’s co-pay when they have medical insurance. The whistleblower Stephani LeFlore of St. Paul, a CVS pharmaceist, brought the wrongdoing to the attention of the government and will receive $2.6 million under the whistleblower laws. The moneys will be split with 10 states and the federal government.