CVS Settles Mass. Drug Overcharge Claims For $2.7M

Law360, New York (August 30, 2010, 1:45 PM EDT) -- CVS Pharmacy Inc. will pay $2.65 million to settle allegations that it overcharged Massachusetts for prescription drugs under a workers' compensation insurance program, state Attorney General Martha Coakley said Monday.

Under the settlement, filed Thursday in the Massachusetts Superior Court in Suffolk County, CVS’ payment will go to approximately 200 cities and towns in the state.

Since 2002, the pharmaceutical chain allegedly overcharged local governments $1.3 million on prescription drug prices, an investigation by the Massachusetts Attorney General's Office revealed.

The overcharges were billed through a...
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