A settlement has been reached to resolve False Claims Act allegations against Omnicare Inc.
The allegations arose from a lawsuit that claimed Omnicare Inc submitted false claims for payment for drugs under the Medicare Part D and Medicaid programs from 2008 to 2014.
According to the government, Omnicare allegedly in an effort to increase business efficiency and profit, designed and implemented an automated label verification system at certain locations that used less specific drug codes than the National Drug Code that identifies the labeler, product and trade package size. The use of less specific drug codes resulted in Omnicare submitting claims to Medicare and Medicaid for generic drugs that were not actually dispensed to beneficiaries
Furthermore, the government alleged, the drugs being dispensed with patient-specific labels displayed an incorrect product identifier, affecting Omnicare's ability to conduct recalls.
“Ensuring accuracy in the dispensing of and billing for medication in the Medicare Part D and Medicaid Programs, especially to long-term care patients, is vital to public safety,” Acting U.S. Attorney Fitzpatrick said.
Reportedly, the whistleblowers, former Omnicare pharmacists, Elizabeth Corsi and Christopher Ezzie, will receive more than $2 million as their share of the recovery and to resolve employment claims.
