Authorities: Ohio-based pharmacy to pay $4M to settle kickback allegations in South Carolina
2/27/2014WASHINGTON — Federal authorities say a Cincinnati-based company that provides prescription drugs for long-term care facilities agreed to pay the government more than $4 million to settle a whistle-blower lawsuit in South Carolina alleging the company engaged in illegal kickbacks.
The Justice Department said Thursday that the civil settlement resolves allegations that Omnicare solicited and received kickbacks from the California-based drug manufacturer Amgen Inc. in return for implementing programs designed to switch Medicaid beneficiaries from a competitor drug to Amgen’s Aranesp product.
The government says the alleged kickbacks included performance-based rebates, grants, consulting services and dinners. The government says the settlement involves claims and no liability was determined.
Omnicare didn’t immediately return a call for comment Thursday.
The company provides pharmaceuticals and services to long-term care facilities.