Jersey City Pharmacy Pleads Guilty to Medicaid Fraud Scam

May 12, 2003

New Jersey’s Acting Attorney General Peter Harvey announced that a Jersey City corporation has pled guilty to charges of Medicaid Fraud for reportedly billing the federal and state assistance program for prescriptions that were not provided to Medicaid recipients. The pharmacy was ordered to pay $22,289 in restitution to the Medicaid Program and to pay a $1,000 fine.

According to Vaughn McKoy, Acting Director, Division of Criminal Justice and Insurance Fraud Prosecutor Greta Gooden Brown, the Rx 2000 Pharmacy pled guilty before Hudson County Superior Court Judge Elaine Davis, to an Accusation which charged the corporation with Medicaid Fraud (3rd degree).

At the guilty plea hearing, Rx 2000 Pharmacy reportedly admitted that from January – July, 1999, submitting fraudulent bills totaling more than $18,506 to the Medicaid Program for prescription drugs which the pharmacy never provided to Medicaid beneficiaries.

Among the prescription drugs fraudulently billed to the Medicaid Program were Combivir, Crixivan 400 mg, Viracept 250 mg, Epivir 15 mg, Zerit 40 mg, Difulcan 100 mg and 200 mg, Viramune 200 mg, Soma 350 mg, Ensure Plus, Zithromax 600 mg, and Retrovir 300 mg.

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