Medicaid Fraud Attorney Brings Pharmaceutical Settlement

Thanks to the work of a diligent Medicaid fraud attorney, four pharmaceutical companies charged with defrauding the state of Wisconsin have agreed to a settlement. The companies in question admitted to adjusting the wholesale prices of their medications in order to obtain fraudulent reimbursements from the state of Wisconsin’s Medicaid program.

The four German-based companies – Boehringer Ingelheim GmbH and three of its affiliates – Ben Venue Laboratories, Inc., Roxane Laboratories, Inc., and Boehringer Ingelheim Roxane Inc. – had been expanding in Wisconsin, Ohio, and other parts of the United States. All were charged by the Medicaid fraud attorney with misrepresenting the costs for prescription pharmaceutical products, thereby reaping undue profits through reimbursement from the Medicaid program. Fraudulently overcharging any government agency or program is a serious offense with severe criminal and fiscal consequences. Although all four companies agreed to settle, none admitted guilt to the charges levied, thereby obviating further inquiry into its criminal liability.

This was part of a larger suit brought by a Medicaid fraud attorney against 36 pharmaceutical companies, accusing them of illegally inflating the costs of their medications. On April 10, 2010, the four companies in question settled with the state of Wisconsin for $7,750,000. This amount includes $7,000,000 in restitution fees to the state and its taxpayers and $750,000 in damages, such as legal fees.

Many other cases brought by the Medicaid fraud attorney have been settled, but there are still several outstanding. Wisconsin Attorney General J.B. Van Hollen, stated that this was a major step in cracking down on instances of Medicaid fraud. He indicated that the result of this case (and other settlements) would act as a deterrent for individuals and companies contemplating committing fraudulent activities.
In cases such as this, the important role of a Medicaid fraud attorney cannot be overstated. This individual was instrumental in initiating an investigation into a large-scale criminal scam. Uncovering the fraudulent activities and prosecuting those responsible saved both the state of Wisconsin and its taxpayers a great deal of money. The impact is all the greater if this makes defrauding the Medicaid system appear less attractive to would-be perpetrators in the future.


November 15th, 2010