Morning Briefing
Summaries of health policy coverage from major news organizations
Justice Department Sues CVS Over Allegations It Fraudulently Billed Medicare For Stale Prescription Refills
Reuters: U.S. Sues CVS For Fraudulently Billing Medicare, Medicaid For Invalid Prescriptions
CVS Health Corp and its Omnicare unit were sued on Tuesday by the U.S. government, which accused them of fraudulently billing Medicare and other programs for drugs for older and disabled people without valid prescriptions. The Department of Justice joined whistleblower litigation accusing Omnicare of violating the federal False Claims Act for illegally dispensing drugs to tens of thousands of patients in assisted living facilities, group homes for people with special needs, and other long-term care facilities. (Stempel, 12/17)
The Associated Press: DOJ Sues CVS Over 'Stale' Omnicare Prescription Refills
The Department of Justice said in federal court papers filed Tuesday that Omnicare’s pharmacies sent drugs to people living in residential facilities based on “stale, invalid prescriptions.” It accused the company of fraudulently billing government-funded programs like Medicaid and Medicare for drugs dispensed without a valid prescription from 2010 to 2018. The DOJ said the practice put the safety of thousands of patients at risk because people kept taking the same drugs for months — or in some cases, years — without talking to a doctor. (Murphy, 12/17)
Stat: Feds Says A CVS Long-Term-Care Pharmacy Improperly Refilled Prescriptions
In at least 1,766 residential facilities, Omnicare allowed prescriptions to “roll over.” And in at least an additional 1,476 residential facilities, Omnicare rolled over prescriptions through its so-called cycle fill system, which is an automated system used to refill large volumes of medications in bulk on a periodic basis. The lawsuit described how Omnicare automatically filled prescriptions up to 99 times without a prompt requiring pharmacy staff to contact treating physicians. (Silverman, 12/17)
Cincinnati Enquirer: CVS, Omnicare Sued By Feds For Fraudulent Prescriptions
Omnicare frequently assigned new numbers to prescriptions once they expired or ran out of refills – enabling the company to bill Medicare Medicaid, and Tricare, which serves military personnel. Omnicare billed the federal programs for hundreds of thousands of drugs from 2010 to 2018, according to the lawsuit. (Coolidge, 12/17)
Modern Healthcare: CVS, Omnicare Accused Of Prescription Drug Fraud By Feds
"A pharmacy's fundamental obligation is to ensure that drugs are dispensed only under the supervision of treating doctors who monitor patients' drug therapies. Omnicare blatantly ignored this obligation in favor of pushing drugs out the door as quickly as possible to make more money," Manhattan U.S. Attorney Geoffrey Berman said in a statement. (Livingston, 12/17)
