Source: Office of United States Attorneys
PHILADELPHIA – United States Attorney David Metcalf announced that West End Services, Inc. will pay $825,000 to resolve liability allegations under the False Claims Act.
West End Services, Inc. (“WES”) and its owner-pharmacist, Christopher Leon, have agreed to pay $825,000 to the federal government, based on their ability to pay, to resolve allegations that they violated the False Claims Act by billing Medicare for prescription medications that were not actually dispensed. During the period of January 1, 2014, to February 24, 2019, WES billed Medicare for prescription drugs that were not actually dispensed to Medicare beneficiaries. These medications included, but were not limited to, Latuda, Humira, Abilify, Invega Sustenna, Seroquel, Acyclovir, Flovent, and Truvada.
“Pharmacy fraud remains a priority for our office and taxpayer dollars should be spent on needed medications, not wasted on fraud and abuse,” said U.S. Attorney Metcalf. “Pharmacies and pharmacists have a responsibility to serve as gatekeepers of a closed system of prescription drug distribution. That responsibility was allegedly used for profit here. This investigation and resolution illustrate this District’s continued emphasis on combatting healthcare fraud, including pharmacy fraud. One of the most powerful tools to combat this type of waste, fraud, and abuse is the False Claims Act, and this District maintains one of the most active affirmative civil dockets in the country.”
Other similar pharmacy fraud settlements include:
“As U.S. Attorney Metcalf said, this investigation further solidifies this District’s focus on holding pharmacies and healthcare providers accountable for their handling of controlled substances, and the importance of maintaining on honest inventory balance, instead of putting profits at the forefront,” said Maureen Dixon, Special Agent in Charge of the Philadelphia Regional Office of the Department of Health and Human Services, Office of Inspector General. “Pharmacies are integral partners in patient care, and they are expected to act with integrity. We take allegations of pharmacy fraud seriously, and today’s settlement reflects our commitment to working with our partners to ensure that taxpayer dollars are spent in an appropriate manner — on needed services, not wasted on fraud and abuse.”
This investigation was conducted by the Department of Health and Human Service Office of Inspector General. For the United States Attorney’s Office, Assistant United States Attorney Alfred J. Vogt and former Assistant United States Attorney Deborah W. Frey handled the investigation, with contributions from auditor George Niedzwicki.
The claims resolved by the settlement are allegations only; there has been no determination of liability.