The U.S. alleged that instead of reporting discounted prices, Ahold Delhaize USA reported inflated “usual and customary” prices on claims to federal health care programs.
The U.S. Department of Justice (DOJ) has announced a settlement with Ahold Delhaize USA, Inc. and other related entities (Ahold) over allegations the owner/operator of grocery store chains in multiple states reported inflated prices on claims to federal health care programs. The U.S. alleged that the grocery chains operated prescription savings programs under which enrolled members received discounted prices on prescription drugs in the in-store retail pharmacies. However, rather than reporting the discounted prices as “usual and customary” on claims submitted to Medicare Part D, Medicaid, and TRICARE, Ahold allegedly reported the non-discounted prices, causing those programs to pay inflated amounts on such claims, which is a violation of the False Claims Act (FCA). To settle the allegations against it made in a qui tam action filed in Pennsylvania, Ahold agreed to pay $40 million. (Settlement Agreement, U.S. ex rel. LaBenne v. Koninklijke Ahold Delhaize N.V., Civil Action No. 18-CV-925 (W.D. Pa. May 12, 2026)).
Through its subsidiaries Ahold U.S.A., Inc. and Delhaize America, LLC, Ahold owns and operates grocery store chains in multiple states throughout the U.S. under brand or trade names Giant, Martin’s, Stop & Shop, Food Lion Hannaford, Bloom, Harvey’s, and Sweetbay. The U.S. alleged that during...
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