RI Will Net Over $500,000 in CVS Settlement
PROVIDENCE, R.I. (AP) – Rhode Island's attorney general says the state is expected to receive more than $500,000 after CVS Pharmacy Inc. agreed to pay a $17.5 million to settle federal allegations it
overcharged Medicaid programs in the Ocean State and nine others.
Attorney General Peter F. Kilmartin said in a statement Friday that the settlement will recover over $1 million in federal and state money used to pay for Rhode Islanders prescription drugs. Kilmartin says the state will retain about half that.
The Justice Department says the settlement resulted from an investigation into claims Warwick-based CVS collected more than it should have from Medicaid for filling prescriptions for people who have other insurance as well. Typically, pharmacies can only bill Medicaid for the amount of a patient's co-payment in those situations.
(Copyright 2011 by The Associated Press. All Rights Reserved.)