The major retail entity owns and operates pharmacies across many grocery stores, including Giant, Stop & Shop, Food Lion, and more.
Ahold Delhaize agreed to settle a $40 million lawsuit based on allegations that it reported inflated drug price claims within federal health programs, according to a release from the Western District of Pennsylvania US Attorney’s Office.1 Within claims to Medicare Part D and other federal entities, the government alleged that Ahold Delhaize’s grocery pharmacies inaccurately reported discounted drug prices.
“Pharmacies in federal health care programs must report truthful prices. Inflating those prices, as alleged here, puts the integrity of taxpayer-funded programs at risk,” Deputy Inspector General for Investigations Scott J. Lampert of the US Department of Health and Human Services Office of Inspector General (HHS-OIG) said in the release. “Working closely with our law enforcement partners, HHS OIG will continue to aggressively pursue such conduct to protect these critical programs and all the people who rely on them.”
The core of the legal action stems from a whistleblower lawsuit filed by Lawrence LaBenne, a pharmacist who worked at an Ahold Delhaize supermarket location in Pennsylvania. Under the qui tam provisions of the False Claims Act, LaBenne acted on behalf of the US to expose discrepancies in how the company reported its “usual and customary” prices.1-3
For his role in the recovery of public funds, LaBenne is set to receive more...
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