CVS Subsidiary Found Guilty of Fraud

Fraud Findings Against CVS Subsidiary

By Michel Daher

Let me break this down more clearly. In the realm of long-term care, unlike the usual trip many of us might make to a pharmacy for medication, long-term care pharmacies handle things differently. They provide medications in bubble packs, salad packs, or baggies and deliver them directly to places like retirement homes, assisted living, board and care homes, or skilled nursing facilities. Typically, when visiting a doctor, a patient might receive a prescription, sometimes with refills or none at all. This is true for patients in these care facilities as well—doctors may prescribe up to a year’s worth of refills or opt for no refills at all. Omnicare, however, was found to have unlawfully bypassed doctors by adding refills to prescriptions to fraudulently bill for claims and send out medications.



The case against Omnicare was brought to light by pharmacist Uri Bassan, who became a whistleblower and filed a lawsuit on behalf of the government and 29 states back in 2015. CVS Omnicare serves some of the largest assisted living facilities nationwide, including those affiliated with Brookdale Senior Living, Atria Senior Living, and Oakmont Senior Living. It’s important to note that because Omnicare is linked to a pharmacy benefit manager (PBM), it secured higher reimbursements for itself compared to independent pharmacies. The lawsuit claimed that Omnicare forged prescriptions impacting patients in 1,766 facilities between 2010 and 2018. Had this been a smaller, independent pharmacy or private entity, severe penalties or jail time would likely have followed.

Recently, Gov. Sarah Huckabee signed Arkansas Act 624, effectively banning PBMs from running pharmacies in the state. CVS stated that this would necessitate the closure of their 23 locations in Arkansas by January 1, 2026, and has since filed a lawsuit against the state, arguing that the law is unconstitutional. CVS asserts that shutting down these stores would negatively impact patients, limit access to medications, raise prescription costs, and lead to about 500 job losses. However, Arkansas has 734 licensed pharmacy operators in total, so CVS’s exit might not be as drastic as they claim. Given these developments, the era of PBMs may be waning, which could be beneficial for both patients and independent pharmacies.


You May Also Like

Historic SS United States sinks after hours-long goodbye to become artificial reef off Florida’s coast

Historic SS United States Sinks Off Florida as Artificial Reef

The historic SS United States, once the fastest passenger ship in the…
Florida's Delray Beach cancels St. Patrick's Day Parade, Pride event over DEI law — outraging locals

Delray Beach Cancels St. Patrick’s Day Parade, Pride Event Over Florida DEI Law, Sparking Outrage

Delray Beach has canceled its annual St. Patrick’s Day Parade after a…
At least 2 dead, 17 injured after NYC building collapse

NYC Building Collapse Kills at Least 2, Injures 17

At least two people died and more than a dozen others were…
Iran escalates in Hormuz, claims strike on Omani island it says 'enemy' uses for US military ops

Iran Escalates in Hormuz, Claims Strike on Omani Island Used by US

Iran says it carried out a strike on a small Omani island…
NYC dad with pregnant wife ID'd as Brooklyn building collapse victim

Brooklyn Dad Killed in Building Collapse Leaves Pregnant Wife

A father whose wife was days away from giving birth was among…
Matt Lambert, DC doctor, identified as gunman in deadly attack after HOA feud

D.C. Doctor Matt Lambert Identified as Gunman in Deadly HOA Feud

Law enforcement sources have identified the gunman in Thursday’s fatal shooting at…
San Onofre’s famous twin domes will be demolished by end of 2027

San Onofre’s Iconic Twin Domes to Be Demolished by End of 2027

What a pair. Southern California is preparing to say goodbye to the…
Suspected DUI driver arrested on 3 murder counts after deadly North Hollywood crash, police say

Suspected DUI Driver Arrested on 3 Murder Counts After Deadly North Hollywood Crash

A 61-year-old man suspected of driving under the influence was arrested on…
MICHAEL RUIZ: DA identifies 49 local killers slated for Newsom's death row clemency — and their crimes

DA Identifies 49 Killers Slated for Newsom Death Row Clemency

A California district attorney is drawing attention to the devastating crimes tied…
Democrat Colom will be Mississippi's first Black senator in more than 100 years, AP projects

AP projects Democrat Colom will become Mississippi’s first Black US senator in over 100 years

Democrat Scott
Dubious buys raise alarm over local control of opioid cash

Questionable Purchases Spark Fears Over Local Opioid Funds

State and local governments spent roughly $3.7 billion in opioid settlement money…
Report: Alice Huang Is in China, Jensen Huang Is in Hot Water, and Nvidia Has Some Explaining to Do

Report: Alice Huang in China as Jensen Huang Faces Nvidia Scrutiny

Alice Huang, the businesswoman U.S. officials suspect of spying for China, is…