A Union City pharmacy has agreed to pay $995,420 to resolve allegations that it violated the False Claims Act by knowingly billing a federal health care program for medications that it never dispensed, U.S. Attorney Alina Habba announced.

By John Heinis/Hudson County View

The federal government alleged that, from January 2nd, 2015, through January 24th, 2022, the People’s Pharmacy Shoppe, located at 4012 Bergenline Ave. caused the submission of claims for reimbursement to the Medicare Part D Program and the New Jersey Medicaid Program for drugs that were never dispensed to beneficiaries.

The government contends that inventory records showed that People’s did not purchase enough of these medications from wholesalers to fill the prescriptions billed to the federal health care program.

The resolution obtained in this matter was the result of a coordinated effort between the U.S. Attorney’s Office for the District of New Jersey and the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section.

The government is represented by Assistant U.S. Attorneys Robert Toll and Kruti Dharia of the Opioid Abuse Prevention and Enforcement Unit and Senior Trial Counsel Jennifer Cihon in the Civil Division’s Commercial Litigation Branch (Fraud Section).

Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services at 1-800-HHS-TIPS (800-447-8477).

The claims resolved by the...

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