Attorney General Anne Lopez today announced that Hawai’i has joined the United States, District of Columbia, and 35 other states in a coordinated settlement with CVS Pharmacy, Inc., resolving allegations that the company knowingly submitted or caused to be submitted false claims to the Medicaid program related to the dispensing of insulin pens.
The $36.5 million settlement is the result of a collaborative effort among state Medicaid Fraud Control Units, the US Department of Justice and federal partners to protect Medicaid beneficiaries and recover taxpayer dollars. Hawaiʻi’s share of the settlement will be $617,160.
The settlement resolves allegations that, from 2010 through 2020, CVS violated the False Claims Act in connection with its billing and dispensing of insulin pens to patients enrolled in government healthcare programs (GHPs), including Medicare, Medicaid, TRICARE and the Federal Employees Health Benefits Program. Specifically, the settlement resolves claims that CVS improperly requested and received GHP reimbursement for premature refills, dispensed more insulin pens than patients needed according to their prescriptions, and falsely under-reported the days-of-supply of insulin that its pharmacies dispensed. As part of the settlement, CVS also admitted and accepted responsibility for certain conduct, including that GHPs paid CVS substantial amounts for insulin pen refills that were ineligible for reimbursement and CVS pharmacies dispensed more insulin pens to...
Attorney General Anne Lopez today announced that Hawai’i has joined the United States, District of Columbia, and 35 other states in a coordinated settlement with CVS Pharmacy, Inc., resolving alle...