Kmart To Pay $2.6M To Settle FCA Suit Over Drug Billing

Law360, Los Angeles (October 21, 2013, 9:14 PM EDT) -- Kmart Corp. will pay $2.6 million to settle a whistleblower suit alleging its pharmacies overcharged Medicare, Medicaid and state health care programs for prescription reimbursements, a Michigan U.S. attorney said Monday.

U.S. Attorney Barbara McQuade of the state's Eastern District said Kmart had agreed to the deal, settling False Claims Act accusations the pharmacies had dispensed only a portion of the drugs they charged federal and state health care programs for.

“Cases like this one help ensure that health care program funds are used for the benefit...
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