Walgreen To Put Up $8M To End New Customer Payoff Claims

Law360, New York (April 20, 2012, 3:44 PM EDT) -- Drugstore giant Walgreen Co. will pay $7.9 million to settle two whistleblowers' False Claims Act allegations in Michigan and California that it illegally gave government health care recipients $25 gift cards for transferring their prescriptions from another pharmacy, the U.S. Department of Justice said Friday.

The government alleged that Walgreen offered the gift cards — as well as gift checks and other promotional items — to members of several government health care programs, including Medicare, Medicaid, TRICARE and the Federal Employees Health Benefits Program, when they...
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