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A Northbrook, Illinois-based health care services company has pulled its hand out of the cookie jar so that it can write some checks. Some big checks…
An investigation spearheaded by the Department of Justice result-ed in Caremark’s admission that referral kickbacks were paid to get doctors to send patients to Caremark’s other owned divisions — home infusion, human growth hormone, hemophilia and oncology. Caremark was also accused of—and admitted to—failing to maintain accurate pharmaceutical records and overbilling some state Medicaid programs.
Under the terms of a plea bargain arrangement reached in June, Caremark will plead guilty to two counts of mail fraud and write at least five sizable checks. Uncle Sam is slated to receive a check for $85.3 million.
Another check — $29 million made out to the federal government — will cover the imposed federal fines. Ohio and Minnesota will get $4.6 million, and another $2 million is earmarked for contri-bution to a program that supports individuals with AIDS.
What does Caremark get out of all this? They’re going to be allowed to continue providing services to Medicaid and Medicare patients.
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