Pharmacist Pleads Guilty to Health Care Fraud Charges for Role in $192 Million Compounded Medication Scheme

Medication

Healthcare Compliance Perspective:


A pharmacist, in charge of a Mississippi compounding pharmacy,pleaded guilty recently to one count of health care fraud. His fraudulent behavior involved selecting compounded medication formulas based on profitability, not on effectiveness or patient need. This scheme defrauded TRICARE-a health care program that benefits members of the U.S. armed forces, and private insurance companies out of at least $192 million in payments for medically unnecessary compounded medications. He and the co-owners of the pharmacy avoided fraud prevention measures, like collecting copayments, so that patients would continue receiving, unnecessary medications.