Arkansas Settles with Omnicare Inc., Receives Over $156,000

LITTLE ROCK, Ark. -- Arkansas will receive $156,701 from a settlement with Omnicare Inc., resolving allegations of fraud.

The company was accused of contracting with the drug company Organon USA Inc. to recommend the perscription of two antidepressant drugs in exchange for rebates that were actually monetary payments, according to a news release.

“Omnicare’s actions were irresponsible and unlawful,” said Arkansas Attorney General Rutledge. “This type of fraud from large corporations harms those in need of antidepressant medications by potentially overprescribing them in exchange for a kickback. Health care providers should make prescription decisions based strictly on need, cost and value.”

Arkansas' share is just a portion of the $23 million settlement of federal and state False Claims Acts, involving 44 other states. Similar allegations were resolved against Organon in 2014.

CVS acquired Omnicare, the largest provider of pharmaceuticals and services to nursing homes, in 2015.

A whistleblower lawsuit  originally filed in Massachusetts sparked the case.

A National Association of Medicaid Fraud Control Units team participated in the negotiations for the states.

Read the full press release here.


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