Kmart Can't Dodge Ex-Pharmacy Worker's FCA Suit

Law360, New York (September 19, 2013, 2:07 PM EDT) -- An Illinois federal judge on Wednesday rejected Kmart Corp.'s bid to dismiss a False Claims Act suit accusing the store of overcharging Medicaid and other federal programs for generic medications, finding that the public disclosure made by a similar whistleblower suit filed earlier didn't bar the case.

Former pharmacist James Garbe adequately alleged that Kmart misrepresented the “usual and customary prices” of generic prescription drugs on claims submitted to private insurers, prescription benefit managers, state Medicaid programs and certain federal programs in order to cash in...
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