Walgreens To Fork Over $35M In Medicaid Fraud Suit

Law360, New York (June 4, 2008, 12:00 AM EDT) -- Walgreen Co. has offered $35 million to the U.S. government, 42 states and Puerto Rico in an effort to silence allegations that it artificially boosted its Medicaid reimbursements by prescribing three generic drugs in their most expensive dosage forms.

The nation's largest drugstore chain said Wednesday the settlement would resolve federal and state investigations related to disputes over Medicaid reimbursements for three drugs the company dispensed at its pharmacies.

Under the terms of the settlement, the Deerfield, Ill.-based Walgreens will shell out a total of $35...
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