Pharmacy, PE Fund Owner Want Tricare FCA Suit Trashed

Law360 (April 18, 2018, 7:51 PM EDT) -- A Florida compounding pharmacy and its private equity fund owner on Tuesday urged a federal court to toss False Claims Act litigation accusing them of running a $68 million kickback scheme involving medically unnecessary prescriptions for Tricare beneficiaries, contending that the government's allegations are far too generalized.

Diabetic Care Rx LLC, which does business as Patient Care America, and its ultimate owner, private equity fund Riordan Lewis & Haden Inc., lodged separate motions to dismiss the government's intervenor complaint accusing them of paying kickbacks to marketing companies to recruit Tricare beneficiaries to obtain prescriptions for unnecessary compounded treatments, telling a Florida...

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