Request Legal Help Now - Free

Advertisement
LAWSUITS NEWS & LEGAL INFORMATION

Feds Reach $8M Settlement with Omnicare in False Claims Whistleblower Suit


This is a settlement for the Whistleblower lawsuit.

Santa Clara, CA: An $8 million settlement has been reached in a qui tam lawsuit brought against Omnicare Inc, a subsidiary of CVS Health Corp, by The US Department of Justice and 28 states. The whistleblower lawsuit alleged the defendants violated the False Claim Act by incorrectly labeling generic drugs. The labeling procedure enabled claims to be made to Medicare and Medicaid for generic drug prescriptions under different National Drug Codes than those of the actual drugs given, and for the drug labels to be given with incorrect information.

The lawsuit was brought based on evidence from two whistleblowers, Elizabeth Corsi and Christopher Ezzie, who in February 2014, claimed that Omnicare used an automated label verification system that caused some generic drugs to be prescribed under a different identification number than the one on the prescription and thus be billed to the government. As part of the settlement, Corsi and Ezzie will receive $2 million.

According to court documents, the alleged false claims were made between January 2008 and December 2014 at Omnicare facilities across the country, including its primary pharmacy in King of Prussia, Pennsylvania.

Several other claims, relating to other alleged violations of state law will also be settled as separate agreements, totalling at least $584,643, plus interest accrued from late October 2016.

The case is US et al. ex rel. Elizabeth Corsi and Christopher Ezzie v. Omnicare Inc., case number 1:14-cv-01136-JEI-JS, in the US District Court for the District of New Jersey.

Legal Help

If you have a similar problem and would like to be contacted by a lawyer at no cost or obligation, please fill in our form.
Published on May-18-17


ADD YOUR COMMENT ON THIS ISSUE

Please read our comment guidelines before posting.


Note: Your name will be published with your comment.


Your email will only be used if a response is needed.

Are you the defendant or a subject matter expert on this topic with an opposing viewpoint? We'd love to hear your comments here as well, or if you'd like to contact us for an interview please submit your details here.

Request Legal Help Now! - Free