WOONSOCKET, R.I. — A federal judge ordered CVS Health’s Omnicare unit this week to pay $948.8 million in penalties and damages as part of a lawsuit claiming the company fraudulently billed the government for invalid drug prescriptions.
US District Judge Colleen McMahon in Manhattan ordered a $542 million penalty against the company for filing more than 3.3 million false claims over an eight-year period starting in 2010.
In August 2015, Woonsocket-based CVS Health purchased Omnicare, a long-term care pharmacy services provider first founded in 1981, in a $12.7 billion deal.
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